TaxTMI 
TaxTMI 
2026 (3) TMI 719
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....s also applicable? If on above Fuel charges Vat is applicable, then Can we avail Vat input on purchase of petrol/diesel? Read:- ARA-01 application 11.07.2025 (complete application with challan submitted on 05.08.2025) from M/s. Vision Plus Security Control Limited having its registered office at Building No. C-60, First Floor, Rajan Babu Road, Adarsh Nagar, North West Delhi, New Delhi-110033 PROCEEDINGS [U/s 98 of the Chhattisgarh Goods & Services Tax Act, 2017 (hereinafter referred to as CGGST Act, 2017)] NO/STC/AAR/5/2025 Raipur Dated 31/10/2025 M/s Vision Plus Security Control Limited having its registered office at Building No. C-60, First Floor, Rajan Babu Road, Adarsh Nagar, North West Delhi, New Delhi-110033 is registered under GST having GSTIN 22AAECJ8819P1Z1 has filed the instant application seeking advance ruling as to 1. whether the invoice for diesel and petrol charges, invoiced separately on a per kilometer basis, would be considered a supply of goods and liable to VAT, or liable to GST? 2. Whether the fuel component, when not bundled with the service and invoiced distinctly, is to be treated independently for tax purposes? ....
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....ized representative that the applicant M/s Vision Plus Security Control Limited GSTIN/UIN/Temporary Id as 222500000278ARY is an unregistered unit. The applicant would be going to get engage in handling of fleet operation for an organization for repair and maintenance for vehicles, insurance, drivers and fuel charges that is based on kilometer basis for commercial vehicles and equipment. In the course of such contracts, the applicant will raise invoice separately for all services and charges taxes as applicable and that they will also charge petrol and diesel to customers for fuel expenses on kilometer basis. Thus, the unregistered entity is seeking advance ruling on the following question: Whether the invoice for diesel and petrol charges, invoiced separately on a per kilometer basis, would be considered a supply of goods and liable to VAT, or liable to GST? Whether the fuel component, when not bundled with the service and invoiced distinctly, is to be treated independently for tax purposes? What is the appropriate classification and rate of tax, if GST is applicable? If GST is applicable on fuel charges, then further whether Vat is also applicable? ....
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....ought it in respect of any matter referred to in sub-section (2) of section 97 for advance ruling; b. On the concerned officer or the jurisdictional officer in respect of the applicant. Thus, in view of the above section 103 of CGST Act, 2017, the ruling so sought by the Applicant would be binding only on the Applicant and on the concerned officer or the jurisdictional officer as stipulated above. 5.2 We have gone through the submissions made by the applicant and have examined the views expressed by them in this regard. At the outset, we find that the issue raised under Question no. 1 in the ARA-01 application filed by the applicant gets squarely covered under Section 97(2)(a), 97(2) (d) and 97(2) (e) of the CGST Act 2017 being a matter relating to classification, admissibly to ITC and determination of the liability to pay tax on any goods or services or both. We, therefore, admit the questions raised by the applicant for consideration on merits. 5.3 In the context of the questions raised by the applicant, we would first like to discuss the relevant provisions of GST law which have a direct bearing on the matter. 5.3.1 The taxable event under GST is supply of g....
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.... Illustration.- Where goods are packed and transported with insurance, the supply of goods, packing materials, transport and insurance is a composite supply and supply of goods is a principal supply; Hence, five essential elements for a supply to be considered as a composite supply can be drawn out from the above definition. First, a composite supply must consist of two or more supplies whereby such supplies must be taxable. A taxable supply, as per section 2(108) of the CGST Act, is the one which is "leviable to tax under the Act". Thus, petroleum products, including petrol and diesel are not leviable to tax under CGST / CGGST Act, 2017. Second, the supplies can be of either goods, services or any combination thereof. The terms "goods" and "services" are defined under clauses (52) and (102) of section 2 of the CGST Act respectively. Third, the supplies must be "naturally bundled" together. Further, "bundling" has been defined as "a practice of providing more than one product or service at once at an inclusive price". Fourth, the supplies must be "supplied in conjunction with each other" in the "ordinary course of business". Fifth, one of the supplies under the composite s....
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....overning the said transaction. Here the applicant has not furnished any contract or agreement relating to the transaction in question. What is forthcoming from the records produced before us is that the applicant is to get in to the fleet operation business, however there is no agreement / contract in this regard yet on the proposed transactions with their clients. For a definite and proper analysis, it is of utmost importance to go through the fine prints of the contracts in place for that specific transaction. Lack of such details makes it all the more difficult for this authority to arrive at a definite conclusion in this regard. Further, the legality and technicality as regard the purchase and sale of petrol and diesel in the instant transaction and to be dispensed or billed based on client's usage, not being a subject matter under CGST / CGGST Act, 2017 this authority is not authorized to pass any conclusive remarks in the matter. 6. Having regard to the facts and circumstances of the case and discussions as above, we pass the following order:- ORDER (Under section 98 of the Chhattisgarh Goods and Services Tax Act, 2017) No. STC/AAR/05/2025 Raipur Dated 31/1....