TaxTMI 
TaxTMI 
2025 (3) TMI 1653
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....Ruling (AAR), Andhra Pradesh. 3. Brief Facts of the Case: 3.1 M/s. RV Hydraulic Services (GSTN: 37DZIPR3608R1ZG) is engaged in specialized steel plate processing, including precision cutting, rolling, and bending of steel plates. The company produces pipes, bucket shells, and other custom-formed components for supply to various industries. With advanced machinery and strict quality standards, RV Hydraulic Services ensures precision in manufacturing according to client specifications, working with a wide range of materials for customized solutions. 3.2 The appellant (M/s RV Hydraulics GSTN: 37DZIPR3608R1ZG) placed a purchase order on M/s Promau SRL, Italy, for a Davi Full Hydraulic Plate Roll (Model MCB F30) on September 29, 2023. The purchase was confirmed on November 8, 2023, for a total cost of EUR 80,000. An advance payment of EUR 8,000 was made by M/s RV Hydraulics on December 5, 2023. The machinery was imported by Promau SRL and claimed exemption on Import duties under Notification No.08/2016 as the machinery is intended for exhibition purpose at IMTEX 2024 (Bangalore International Exhibition Centre, January 19-23, 2024). 3.3 After the exhibition, the appellant pai....
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....as duly paid and that the machinery is intended for business purpose. 7. Discussion and Findings: 7.1 We have carefully gone through the submissions made by the applicant in the appeal filed by the applicant and also by the submissions made by the Authorized representative on the date of Personal hearing. 7.2 Appellant (RV Hydraulics GSTN 37DZIPR3608R1ZG) placed an order with Promau SRL, Italy, for a Davi Full Hydraulic Plate Roll (Model MCB F30) on September 29, 2023, confirmed on November 8, 2023, at a total cost of EURO 80,000. The company initially paid EURO 8,000 on December 5, 2023 to Promau SRL, Italy. Meanwhile, the machinery was imported to India by Promau SRL on December 18, 2023, under Bill of Entry No. 9280751. As Promou SRL has not having any GST registration in India, the machinery was cleared from Customs by RE Rogers India Pvt. Ltd., by quoting Exemptions Customs Notification 08/2016, dt. 05-12-2016, without payment of any applicable duties. The Machinery which was imported for exhibition purpose was displayed at the International Machine Tool and Manufacturing Technology (IMTEX) exhibition held at the Bangalore International Exhibition Centre (BIEC) from J....
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....f section 3 of the Customs Tariff Act, 1975 on the value as determined under the said Act at the point when duties of customs are levied on the said goods under section 12 of the Customs Act, 1962. Regarding Import of goods the transaction is treated as Inter State Supply as per Section 7 of IGST Act, 2017 which reads as: (1) Subject to the provisions of section 10, supply of goods, 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 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. Further Section 3(7) and 3(8) of the Customs Tariff Act 1975 imposes levy of Customs duty on import of goods which includes Basic Customs duty, IGST and Social Welfare Charges etc. The same is extracted below: As per Section 3(7) and 3(8) of the Customs Tariff Act 1975 3. Levy of add....
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....ons for claiming input tax credit as per Rule 36 are extracted here under (1) The input tax credit shall be availed by a registered person, including the Input Service Distributor, on the basis of any of the following documents, namely,- • (a) an invoice issued by the supplier of goods or services or both in accordance with the provisions of section 31; • (b) an invoice issued in accordance with the provisions of clause (f) of sub-section (3) of section 31, subject to the payment of tax; • (c) a debit note issued by a supplier in accordance with the provisions of section 34; • (d) a bill of entry or any similar document prescribed under the Customs Act, 1962 or rules made there under for the assessment of integrated tax on imports; In view of the above provisions, the taxpayers are eligible to claim ITC on import of goods subject to the fulfillment of above said conditions and documentary requirements specified under Sec 16 (2) (a) read with rule 36 (1) (d) in case of import of goods. Section 20 of the IGST act 2017 implies applicability of provisions of CGST / APGST act relating to (iv) Input Tax Credit....