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2022 (12) TMI 508
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....7-State Tax (Rate) is allowable to Applicant, if the activity is treated as supply of services? (iii) If the activity is to be classified as supply of goods, then whether the same can be treated as exempted goods under SL. No. 119 of the exempted list at Nil rate of tax under CH 4901 i.e. Printed Books including braille books? At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions. a reference to the CGST Act would also mean a reference to the same provision under the MGST Act. Further to the earlier, henceforth for the purposes of this Advance Ruling. the expression 'GST Act' would mean CGST Act and MGST Act. 2. FACTS AND CONTENTION - AS PER THE APPLICANT FACTS: The submissions, as reproduced verbatim, could be seen thus- The Applicant 1. The Applicant, M/s. Prabhakar & Sons is a proprietary firm owned by Shri. Makarand Vacant Kulkarni, having registered office at 201, Dhananjoy Eternia, 2nd Floor. Vijayanagar Colony, 2129. Sadashiv Peth Pune -411030. The Applicant is r....
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....7-GST, dated 20-10-2017 (F. No. 35-1/263/2017-TRU) issued by Government of India, Ministry of Finance (Department of Revenue), wherein it has been clarified that in the case of printing of books, pamphlets, brochures, annual reports, and the like, where only content is supplied by the publisher or the person who owns the usage rights to the intangible inputs while the physical inputs including paper used for printing belong to the printer, supply of printing (of the content supplied by the recipient of supply) is the principal supply and therefore such supplies would constitute supply of service jailing under heading 999295 of the scheme of classification of services. 5. Circular No.11/11/2017-GST Subject: Clarification on taxability of printing contracts. 1. Requests have been received to clarify whether supply of books, pamphlets, brochures, envelopes, annual reports, leaflets, cartons, boxes etc., printed with design, logo, name, address or other contents supplied by the recipient of such supplies, would constitute supply of goods falling under Chapter 48 or 49 of the First Schedule to the Customs Tariff Act, 1975 (51of 197....
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.....06.2017. For the ready reference the same is reproduced below. SL.No. Chapter Heading Description of Service Rate (per cent) Condition 66 9992 Services provided - (a) by an educational institution to its students, faculty and staff. (aa) by an educational institution by way of conduct of entrance examination against consideration in the form of entrance, fees: (b) to an educational institution, by way of, (i) transportation of students, faculty and stuff (ii) catering, including any mid-day meals scheme sponsored by the Central Government, State Government or Union territory: (iii) security or cleaning or housekeeping services performed in such educational institution: (iv) services relating to admission to, or conduct of examination by, such institution; (v) supply of online educational journals or periodicals Nil Nil Provided that nothing contained in entry (b) shall apply to an educational institution other than an institution providing services by way of pre-school education and education up to higher secondary school or equivalent. Provided further that nothing con....
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.... - 12. The Applicant also refers to Chapter 4901 which covers 'Printed hooks, newspapers, pictures and other products of the printing industry, manuscripts, typescripts and plans'. Since the question papers cannot be treated as printed books or leaflets, in the opinion of the Applicant question papers cannot he classified under CH 4901. 13. The Applicant also refers to CH 4911. The said tariff heading covers other printed matter, including printed pictures and photographs, such as Trade advertising material, commercial catalogues and the like, printed posters, commercial catalogues, printed inlay cards, pictures, designs and photographs, plan and drawings for architectural engineering, industrial, commercial, topographical or similar purposes reproduced with the aid of computer or any other devices. The Applicant submit that the said tariff heading predominantly deals with the commercial printing, however question papers are not used any commercial purpose. Therefore printing and supply of question papers also cannot he classified under CH 4911. 14. The Applicant also refers to the decision of the Authority for Advance Ruling under GST, Gujrat in the case of Edutes....
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....M1ZP in the state of Maharashtra. The taxpayer has filed their GST Returns till date. The taxpayer has declared the description of goods and services in their registration as under: Goods Services HSN Description HSN Description 9611 00 00 DATE, SEALING OR NUMBERING STAMPS, AND THE LIKE (INCLUDING DEVICES FOR PRINTING OR EMBOSSING LABELS), DESIGNED FOR OPERATING IN THE HAND; HAND-OPERATED COMPOSING STICKS AND HAND PRINTING SETS INCORPORATING SUCH COMPOSING STICKS 9989 12 Printing and reproduction services of recorded media, on a fee or contract basis 4911 OTHER PRINTED MATTER, INCLUDING PRINTED PICTURES AND PHOTOGRAPHS 4911 99 10 OTHER PRINTED MATTER, INCLUDING PRINTED PICTURES AND PHOTOGRAPHS - HARD COPY (PRINTED) OF COMPUTER SOFTWARE The applicant vide their ARA have submitted the application before Advance Ruling Authority stating that printing of examination or test paper is a composite supply where the printing of the contents provided by the University or Board or Educational Institute is the principal supply. As per "Composite Supply" as defined in Section 2(30) of the CGST Act, 2017 mean....
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....alling under respective headings of under Chapter 48 or 49 of the Customs Tariff. In view of above clarifications, the applicant clarified that since question papers cannot be treated as printed books or leaflets or newspaper and hence cannot be classified under CH 4901. Likewise CH 4911 predominantly deals with the commercial printing, however question papers are not used for any commercial purpose, Therefore printing and supply of question papers cannot be classified under CH 4911 also. Thus, the applicant have classified the activity of printing and supply of question papers for Universities, Educational Boards and Educational institutes under HSN 999295 as supply of services relating to conduct of examination and therefore the same is exempt from GST under Sr.No.66 of Notfn.No.12/2017 C tax dtd. 28.6.2017. In this connection, the applicant rely upon following decisions of Hon'ble Supreme Court ad High Court. i. Doypack Systems Pvt. Ltd. Vs UOI-1988 (36) ELT 201 (SC) ii. Coca Cola India Pvt. Ltd. Vs CCE, Pune III-2009 (242) ELT 0168(Bom HC) Comments of the Department - In the instant case it is observed that the taxpayer is undertaking activity of ....
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....rned Consultant and Shri. Makrand Kulkarni were present. The Jurisdictional officer was absent. The application was admitted with following directions to the applicant. Applicant to produce invoices. agreements and details to explain exact nature of work/activity being undertaken by the applicant. Applicant to inform exactly to which particular recipients (with details of name and course of details) the applicant provides the services and the types/nature of services. The jurisdictional officer to file written submission. Application is admitted. In spite of specific directions in writing and explained during the course of hearing at the time of admission as well as at the time of final hearing on 15/11/2022, no details are produced. The case is finally heard on 15/11/2022. No such details are produced before the Advanced Ruling Authority. The applicant wants to know the answer to certain question. The answer to the question can only be given after considering the underlying facts. If no records. bills. tender documents or correspondence. or agreement which govern the transaction or any document whatsoever related to transaction being undertaken or proposed to be undertaken i....