TaxTMI 
TaxTMI 
TaxTMI 
2025 (8) TMI 222
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....s, transporting it from mines to railway siding, stacking at railway siding, Rack loading and other miscellaneous services provided to M/s Pioneer Aluminum Industries Limited (SEZ unit) by the applicant is a taxable service under GST Act? Q.2 If such services are taxable under GST what shall be the rate of tax and such services shall be inter-state or intra state? 1.1 At the outset, we would like to make it clear that the provisions of both the CGST Act and the OGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the OGST Act. 2.0 The applicant furnishes some facts relevant to the stated activity : • That M/s Advaita Mining and Construction LLP has received a work order from M/s Pioneer Aluminum Industries Limited (formerly known as Anrak Aluminum Ltd) having GSTIN-37AAGCA2333M1ZM which is located in SEZ Zone situated at APIIC industrial park, Village G. Koduru Mandal, Anakapalle District, Andhra Pradesh. • That M/s Pioneer Aluminum Industries Limited is purchasing bauxites from O....
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....dings We have gone through the advance ruling application, question on which Advance Ruling has been sought and the applicant's interpretation of law and/or facts, as the case may be, in respect of the question asked. We observe that, the issue before us is squarely covered under Section 97(2) of the CGST Act, 2017 and therefore we admit the application for consideration. 5.1 Applicant has entered a work order with M/s Pioneer Aluminum Industries Limited (formerly known as M/s Anrak Aluminum Limited) for providing logistics services from Kodingamali Bauxite Mines to Kakiriguma Railway Sidings including loading into rakes. The detail scope of the work as mentioned in the Work order are as follows: • Loading at miners • Transportation of Bauxite From Kodingamali Mines to Kakiriguma Railway Siding • Storage at Kakirguma Railway Siding, Stacking & Rake Loading, • Rehandling at Siding • Miscellaneous other activities such as water sprinkling at mines, Traffic Management, Manpower, Track & Rake Cleaning manpower, Tarpaulins for rakes, lighting DG, Barricades etc. and the payments terms is Rs 662.44 per MT. ....
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....shall be treated as a supply of goods in the course of inter-State trade or commerce. (2) Supply of goods imported into the territory of India, till they cross the customs frontiers of India, shall be treated to be a supply of goods in the course of inter-State trade or commerce. (3) Subject to the provisions of section 12, supply of services, where the location of the supplier and the place of supply are in- (a) two different States; (b) two different Union territories; or (c) a State and a Union territory, shall be treated as a supply of services in the course of inter-State trade or commerce. (4) Supply of services imported into the territory of India shall be treated to be a supply of services in the course of inter-State trade or commerce. (5) Supply of goods or services or both,- (a) when the supplier is located in India and the place of supply is outside India; (b) to or by a Special Economic Zone developer or a Special Economic Zone unit; or (c) in the taxable territory, not being an intra-State supply and not covered elsewhere in this section, shall be treated to be a supply ....
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....ly. - (1) "zero rated supply" means any of the following supplies of goods or services or both, namely: - (a) export of goods or services or both; or (b) supply of goods or services or both [for authorized operations] to a Special Economic Zone developer or a Special Economic Zone unit. (2) Subject to the provisions of sub-section (5) of section 17 of the Central Goods and Services Tax Act, credit of input tax may be availed for making zero-rated supplies, notwithstanding that such supply may be an exempt supply. [(3) A registered person making zero rated supply shall be eligible to claim refund of unutilised input tax credit on supply of goods or services or both, without payment of integrated tax, under bond or Letter of Undertaking, in accordance with the provisions of section 54 of the Central Goods and Services Tax Act or the rules made thereunder, subject to such conditions, safeguards and procedure as may be prescribed: Provided that the registered person making zero rated supply of goods shall, in case of non-realisation of sale proceeds, be liable to deposit the refund so received under this sub-section along with the a....
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....rt for manufacture of Aluminium and Ministry of Commerce vide letter F. No. D.12/19/2013-SEZ dated 02.01.2018 in Sl. No. 8 of the Default List of Services approved by the Department of Commerce has permitted Cargo Handling Service as default authorized services meant for SEZ developer or a SEZ Zone Unit, the supply in questions should qualify the definition of Zero rated supply as per Section 16(1)(b) of IGST Act, 2017. 5.5 In view of the foregoing discussions, we are of the opinion that services provided by the applicant to M/s. Pioneer Aluminum Industries Ltd are zero rated supply as per Section 16(1)(b) of IGST Act, 2017 and all the terms and conditions under the zero rated supply will be applicable to the Applicant in respect of the supply in question. held accordingly. 6.0 In view of the above, we pass the following order: RULING Q.1 Whether Loading of bauxite at mines, transporting it from mines to railway siding, stacking at railway siding, Rack loading and other miscellaneous services provided to M/s Pioneer Aluminum Industries Limited (SEZ unit) by the applicant is a taxable service under GST Act? Ans: The supply of above service to the SEZ unit ....