TaxTMI 
TaxTMI 
2022 (7) TMI 402
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....he Applicant) are registered under GST with GSTIN 33AMJPV2407M1ZR. The applicant has sought Advance Ruling on the following questions: 1. What is the classification under Customs Tariff for "Fly Ash Blocks"? 2.What is the rate of GST applicable for "Fly Ash Blocks"? The Applicant has submitted the copy of application in Foilli GST ARA - 01 and also submitted a copy of Challan evidencing payment of application fees of Rs.5,000/- each under sub-rule (1) of Rule 104 of CGST rules 2017 and SGST Rules 2017. 2.1 The applicant has stated that they are proposing to engage in the manufacture of "Fly Ash Bricks and Fly Ash Blocks". These Fly Ash Bricks and Fly Ash Blocks are used in construction activities as an alternative for traditional clay bricks and concrete blocks. The applicant has stated that the major raw material for manufacture of Fly ash bricks and Fly ash blocks is "fly ash" which emerges as a waste during the manufacture of iron and steel, cement, power plant, etc. As the said fly ash is harmful to the environment, if let out in open, alternative usage of fly ash is encouraged and one way in which the same can be used is for manufacture of bricks and blocks. Apart from F....
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....cks would attract 5% GST from 01.01.2019. In view of the above facts, the applicant is seeking Advance Ruling on the questions mentioned in para supra. 3.1 Due to the prevailing PANDEMIC situation and in order not to delay the proceedings, the applicant was addressed through the Email Address mentioned in the application to seek their willingness to participate in a virtual Personal Hearing in Digital media. The applicant consented and the hearing was held on 19.01.2022. The Authorised Representatives (AR), Shri. G.Natrajan, Advocate and Shri. Srinivasa Kumar, (AR) appeared for the hearing virtually and reiterated the submissions. The bricks/blocks were shown and the AR stated that they propose to manufacture only blocks in this unit. The CGST Member questioned the AR about the dimension for a brick and block and when does the brick become a block. The AR replied that the blocks have no standard specification/dimensions. The applicant was asked to submit the following documents: 1. Proposed manufacturing process with the percentage composition of ingredients. 2. Details of infrastructure in place 3. Copies of PO received for the proposed supply. 4. As per Civil engineering....
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....ks for marketing for use in construction The whole processes can be divided into following unit operations. * Grinding & Mixing * Pressing * Removal & Stacking for Curing 3.4 On perusal of the submissions made by the applicant, the following details were called for vide notice dated 29.03.2022. i. details of infrastructure available in the premises of the applicant for the manufacture of the product for which ruling is applied for ii. copies of PO received for the proposed supply of product iii. As per civil engineering, the composition which defines blocks and bricks separately, whether any specific IS Standard or International standard is available for such blocks. 3.5 The applicant vide their letter dated 30.03.2022(Received on 01.04.2022) submitted the following facts in respect of the details of infrastructure in place: * The applicant has proposed to set up manufacturing facility, after getting clarity about the GST rate, as the industry is highly competitive. They have obtained GST registration as of now. Further, as per the definition of term "applicant' in Section 95 (c) of the CGST/TNGST Act 2017, "applicant means any person registered or desirous of ....
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....Section 105 of the CGST Act 2017. The same is herewith forwarded for further necessary action. 3.7 Applicant vide their letter dt.10.05.2022, submitted the following: (i) They are a proprietary firm, owned by Smt. Veeramani Srinivaskumar ; she is filing her IT returns in her individual capapcity till date. (ii) As informed vide their letter dt. 30.03.2022, they propose to undertake the manufacture only after getting the ruling; they have only an office at their premises viz., 93/2C, Trichy Main Road, Vazhudhareddy, Villupuram.; they will set up the infrastructure only when the start manufacturing. (iii) They are not undertaking any activity at present and there are no financial statements for M/s.Vishunu Lakshmi Fly Ash Brick; they are not dealing with any items now. 4. The Centre Jurisdictional authority who has administrative control over the applicant has submitted that as on date there are no pending proceedings on the issue raised by the applicant. They have also furnished the following comments: * Classification not applicable for fly ash blocks under Customs tariff * The rate of tax for Fly Ash Blocks is 5% as per Sl.No.225 A Notification No.24/2018 CT (Rate) dat....
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....ity can seek Advance ruling. 8.2. Section 95(a) of CGST Act 2017 defines Advance Ruling to mean a decision provided by the authority or the Appellate Authority or the National Appellate Authority to an applicant on matters or on questions specified in sub-section (2) of Section 97 or sub-section (1) of Section 100 or of section 101C of the CGST Act, in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the Applicant. Thus Section 95(a) specifies that an advance ruling can be applied for, only in relation to proposed supply of goods or services or both. 8.3 Also, the Flyer issued by CBIC on Advance ruling mechanism in GST clarifies as follows: The definition, of Advance ruling given under the Act is a broad one and an improvement over the existing systems of advance rulings under Customs and Central Excise Laws. Under the present dispensation, advance rulings can be given only for a proposed transaction, whereas under GST, Advance ruling can be obtained for a proposed transaction as well as a transaction already undertaken by the appellant. From the above, it is evident that advance ruling can be extended for a proposed transact....