TaxTMI 
TaxTMI 
2025 (3) TMI 470
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..... 4. Advance Ruling obtained by the applicant by fraud or suppression of material facts or misrepresentation of facts, shall render such ruling to be void ab initio in accordance with Section 104 of the Act. 5. The provisions of both the Central Goods and Services Tax Act and the Tamil Nadu Goods and Services Tax Act (hereinafter referred to as the 'Act') are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the Central Goods and Services Tax Act would also mean a reference to the same provisions under the Tamil Nadu Goods and Services Tax Act. M/s. Logskim Solutions Private Limited, located at II Floor, Old No 28/New No 45, Roop Emerald, North Usman Road, T Nagar, Chennai - 600017 (hereinafter called as 'the Applicant') are registered under the GST Acts with GSTIN 33AADCL6619E1ZQ. The applicant is a Third-party Aggregator for mobilizing, engaging and manning the trainees by entering into agreement with various industry partners that may or may not be registered with National Apprenticeship Promotion Scheme (NAPS) and National Apprenticeship Training Scheme (NATS). Industry....
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....ty for personal hearing and Shri. Srivathson, Designated Partner, M/s. RCAS and Associates LLP Chartered Accountants, and Authorised Representative (AR) of the Applicant appeared for the personal hearing on 03.01.2025. The AR explained in brief about the activity being done by the applicant with regard to provision of supply of services and reiterated the submissions made by them while filing the application for Advance Ruling. The AR stated that the applicant is a third-party aggregator with National Skill Development Corporation (NSDC) and registered as a third-party aggregator with Board Apprenticeship Training (BOAT) and Ministry of Education to implement National Apprenticeship Training Scheme (NATS). AR explained that the applicant is mobilizing, engaging and manning the trainees, entering into agreement with various industry partners who provide practical training or provided on-job training at their establishment. 4.2 The AR further explained that while the applicant is paid with the service charges from the industrial partners, they also incur expenses such as provision of uniforms and shoes, insurance, processing of payment of stipend to apprentices through Apprentices....
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....on which the advance ruling is sought. (2) The question on which the advance ruling is sought under this Act, shall be in respect of- (a) classification of any goods or services or both; (b) applicability of a notification issued under the provisions of this Act; (c) determination of time and value of supply of goods or services or both; (d) admissibility of input tax credit of tax paid or deemed to have been paid; (e) determination of the liability to pay tax on any goods or services or both; (f) whether applicant is required to be registered; (g) whether any particular thing done by the applicant with respect to any goods or services or both amounts to or results in a supply of goods or services or both, within the meaning of that term." From the above, it could be seen that advance ruling could be sought by applicant on a specific question, and that the same should be in respect of the situations as referred in clauses (a) to (g) of Section 97 (2) of the CGST Act, 2017. 5.4 We observe that query Nos. 1 and 2 are specific in nature as they refer to a situation and that the questions are squarely covered....
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....f all the following conditions are satisfied, namely, (i) the supplier acts as a pure agent of the recipient of the supply, when he makes the payment to the third party on authorisation by such recipient; (ii) the payment made by the pure agent on behalf of the recipient of supply has been separately indicated in the invoice issued by the pure agent to the recipient of service; and (iii) the supplies procured by the pure agent from the third party as a pure agent of the recipient of supply are in addition to the services he supplies on his own account. Explanation.- For the purposes of this rule, the expression "pure agent" means a person who - (a) enters into a contractual agreement with the recipient of supply to act as his pure agent to incur expenditure or costs in the course of supply of goods or services or both; (b) neither intends to hold nor holds any title to the goods or services or both so procured or supplied as pure agent of the recipient of supply; (c) does not use for his own interest such goods or services so procured; and (d) receives only the actual amount incurred to procure such goods or se....
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...., no payment is made to any third party, as no supply is procured by the applicant and only disbursal of funds (stipend) takes place. Accordingly, we find that the conditions as in clauses (i) and (iii) to Rule 33 of the CGST Act, 2017, do not get fulfilled in the instant case. Apart from the above, the amount or value that is eligible for exclusion from the taxable value under the 'pure agent' concept, prima facie, has to be an 'expenditure' or 'cost', which was incurred by the supplier as a pure agent of the recipient of supply. This is not so in the instant case of the applicant, because they have neither incurred any expenditure / cost on their own account, nor they have made payment to any third party, in this regard. 5.9 We take note of the fact that the applicant has relied on the following Advance Rulings in support of their stand, viz., a. CADMAXX Solutions Education Trust (AAR - Karnataka) - 85/2019 b. Patle Eduskills Foundation (AAR - Maharashtra) - 53/2020-21 c. 2COMS Foundation (AAR - Maharashtra) - 78/2020-21 d. Yashawi Academy for Skills (AAR - Maharashtra) - 84/2019 At this juncture, we would like to ....