TaxTMI 
TaxTMI 
2026 (8) TMI 62
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....targunj, Udham Singh Nagar, Uttarakhand (herein after referred to as the "applicant") and registered with GSTIN 05AANCC6257H1ZG under the CGST Act, 2017 read with the provisions of the UKGST Act, 2017. 2. At the outset, we would like to state that the provisions of both the CGST Act and the SGST 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 provisions under the SGST Act. 3. The Advance Ruling under GST means a decision provided by the authority or the appellate authority to an applicant on matters or on questions specified in sub-section (2) of section 97 or sub section (1) of section 100 in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant. 4. As per the said sub-section (2) of Section 97 of the Act advance ruling can be sought by an applicant 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 g....
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....by them on the upfront lease amount in the light of above scenario. iv. They have also tendered downloaded material/text which records various course of action that the GST Department may take and also suggests alternative manners in which they may treat the lease amount & GST paid thereon, in their records/books of account. The material also informs about various judicial pronouncements of Supreme Court/High Court/ AAAR and the retrospective amendments made in Section 17(5)(d) of the Central Goods and Services Tax Act, 2017 (herein after referred to as the CGST Act) which have an impact on the present issue. v. The applicant in the concluding part of the enclosed text has framed his question as "can the company claim refund/claim ITC of GST paid/payable on upfront payment of lease amount to Eldeco Sidcul Industrial Park Ltd." 6. PERSONAL HEARING 6.1 To meet the ends of natural justice, opportunity of personal hearing was granted to the applicant on 22.07.2026. Sh. Abhishek Kapoor and Shri Nitesh Chaudhary, both Directors of the applicant appeared online for personal hearing on the said date and re-iterated the submission already made in their application. I....
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....t, (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 the 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. 7.3 We find that it is clear from the above that seeking a ruling on the issue of refund of ITC of tax paid by an applicant is not within the purview of Section 97(2) of the Act and therefore the Authority has no jurisdiction to pronounce a Ruling thereon. We hold that the application of the applicant, to this extent, is accordingly set aside. 7.4 Now we take up the issue of admissibility of ITC on the tax paid on the upfront payment for securing lease of an industrial plot. It was also stated by the applicant that the intended use of the said industrial plot would be construction of their factory building. 7.5 Legal Position 7.5.1 The admissibili....
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....ption; (h) goods lost, stolen, destroyed ...; and (i) any tax paid in accordance .... (6) .... Explanation.- For the purposes of this Chapter and Chapter VI, the expression "plant and machinery" means apparatus, equipment, and machinery fixed to earth by foundation or structural support that are used for making outward supply of goods or services or both and includes such foundation and structural supports but excludes- (i) land, building or any other civil structures; (ii) telecommunication towers; and (iii) pipelines laid outside the factory premises. 7.5.2 It would be pertinent to mention here that in the above Section 17(d), for the earlier words "other than plant or machinery", the words "other than plant and machinery" were substituted by section 124 of the Finance Act (No. 7), 2025 with effect from the 1st day of July, 2017. Further, the explanation in Section 17 also provides that the expression "plant and machinery" specifically excludes land, building or any other civil structures. 7.5.3 We also note that the issue was also dealt by the Authority for Advance Ruling for the state of Gujarat in the case of....