TaxTMI 
TaxTMI 
2024 (4) TMI 845
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....ef that being an SEZ. Unit, they are not liable for GST under RCM; • that section 7 of SEZ Act 2005, provides for exemption to all services procured from a DTA (Domestic Tariff Area) or foreign suppliers specified in first schedule. • that in terms of section 51 of the SEZ Act, 2005, the provisions of SEZ Act would have overriding effect on provisions of any other act including taxation laws; • TRU, CBIC, vide letter F. No. 334/335/2017-TRU dated 18.12.2017, has issued a clarification in the context of RCM on procurement of service by International financial Services Centre, SEZ to the effect that a unit in SEZ can procure services where they are required to pay GST under RCM. without payment of Integrated Tax provided the SEZ unit, furnishes a Letter of Undertaking in place of a bond as specified in condition no. (i) in Para 1 of notification no. 37/2017-CT. • that in terms of CBIC Circular No 48/22/2018-GST dated 14.06.2018 any supply made to SEZ developers/SEZ unit for authorized operation, endorsed by the specified officer of SEZ, will be treated as interstate supply even if the supplier of goods or services or both, and the p....
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....s a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provisions under the GGST Act. 7. We have considered the submissions made by the applicant in their application for advance ruling as well as the submissions made during the course of personal hearing. We have also considered the issue involved, the relevant facts & the applicant's submission/interpretation of law in respect of question on which the advance ruling is sought. 8. Before adverting to the submissions, we would like to reproduce the relevant provisions/notifications for ease of reference: Integrated Goods and Services Act 2017 o Section 5. Levy and collection.- (3) The Government may, on the recommendations of the Council, by notification, specify categories of supply of goods or services or both, the tax on which shall be paid on reverse charge basis by the recipient of such goods or services or both and all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to the supply of such goods or services or both. o Section 7. Inter-State sup....
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....everse charge basis by the recipient of the such services as specified in column (4) of the said Table:- Table SI. No. Category of Supply of Services Supplier of service Recipient of Service (1) (2) (3) (4) 2 Supply of Services by a goods transport agency (GTA) [***] in respect of transportation of goods by road to- (a) any factory registered under or governed by the factories Act. 1948 (63 of 1948); or (b) any society registered under the Societies Registration Act, 1860 (21 of 1 860) or under any other law for the time being in force in any part of India; or (c) any co-operative society established by or under any law; or (d) any person registered under the Central Goods and Services Tax Act or the integrated Goods and Services Tax Act or the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act; or (e) any body corporate established, by or under any law; or (f) any partnership firm whether registered or not under any law including association of persons; or (g) any casual taxable person. [Provided that nothing contained in this entry shall apply t....
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....personnel) provided to a registered person: Provided that nothing contained in this entry shall apply to,- (i)(a) a Department or Establishment of the Central Government or State Government or Union territory; or (b) local authority; or (c) Governmental agencies; which has taken registration under the Central Goods and Services Tax Act, 2017 (12 of 2017) only for the purpose of deducting tax under section 51 of the, said Act and not for making a taxable supply of goods or services; or (i) a registered person paying tax under section 10 of the said Act Any person other than a body corporate A registered person, located in the taxable territory.] 17 Services provided by way of renting of any motor vehicle designed to carry passengers where the cost of fuel is included in the consideration charged from the service recipient, provided to a body corporate. Any person, other than a body corporate who supplies the service to a body corporate and does not issue an invoice charging integrated tax at the rate of 12 per cent. To the service recipient Any body corporate located in the taxable territory] Notification No, 18/2017-lntegrated Tax (Rate) dated 5.....
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....t the goods procured from domestic tariff area and sold as it is; o 30. Procedure for procurements from the Domestic Tariff Area.- [(1) The Domestic Tariff Area supplier supplying goods or services to a Unit or Developer shall clear the goods or services, as in the case of zero-rated supply as per provisions of section 16 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017) either under bond or legal undertaking or under any other refund procedure permitted under Goods and Services Tax laws or Central Excise law, or as duty or tax paid goods under claim of rebate, on the cover of documents laid down under the relevant Central Excise law for the purpose of export by a manufacturer or supplier.] 9. The applicant's case is that in respect of the four services that they avail from DTA viz GTA, legal services from advocate, security services, bus hiring for employees, a recipient of service is required to pay GST under RCM in terms of notification No. 10/2017-IT (Rate), reproduced supra. However, the applicant further states that being an SEZ unit, Rule 5(5)(a) of the SEZ Rules, 2006, provides exemption from SGST; that Rule 30(1), ibid, enables a DTA ....
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....powers conferred by section 54 of the Central Goods and Services Tax Act, 2017, and section 20 of the Integrated Goods and Services Tax Act, 2017, sub-rule (5) of rule 96A of the Central Goods and Services Tax Rules, 2017, and in supersession of notification No. 16/2017-Central Tax. dated the 7th July, 2017, published in the Gazette of India. Extraordinary. Part II. Section 3, Sub-section (i), vide number G.S.R. 848(E).dated the 7^th July, 2017 except as respects things done or omitted to be done before such supersession, the Central Board of Excise and Customs hereby specifies conditions and safeguards for furnishing a Letter of Undertaking in place of a Bond by a registered person who intends to supply goods or services for export without payment of integrated tax (i) all registered persons who intend to supply goods or services for export without payment of integrated tax shall be eligible to furnish a Letter of Undertaking in place of a bond except those who have been prosecuted for any offence under the Central Goods and Services Tax Act, 2017 (12 of 2017) or the Integrated Goods and Services tax Act, 2017 (13 of 2017) or any of the existing laws in force in a case wh....