TaxTMI 
TaxTMI 
2026 (9) TMI 1817
X X X X Extracts X X X X
X X X X Extracts X X X X
....of both the CGST Act and the TGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the TGST Act. Further, for the purposes of this Advance Ruling, the expression 'GST Act' would be a common reference to both CGST Act and TGST Act. 3. It is observed that the queries raised by the applicant fall within the ambit of Section 97 of the GST ACT. The Applicant enclosed copies of challans as proof of payment of Rs. 5,000/- under SGST and Rs. 5,000/- under CGST towards the fee for Advance Ruling. The Applicant has declared that the questions raised in the application have neither been de....
X X X X Extracts X X X X
X X X X Extracts X X X X
....s in the application submitted. 7. DISCUSSION & FINDINGS: 7.1 M/s UFO Moviez India Limited, Hyderabad core business is Leasing of Digital Cinema Equipment "DCE". The DCE consisting of Projector, Server, UPS and VSAT. The company is dealing with theaters across state of Telangana. UFO is also providing Services to Advertisers by exhibiting their advertisements in Cinema halls. UFO is also selling consumable spares to theaters. 7.2 We find that the applicant is providing four different equipment's (Projector, Server, UPS and VSAT). M/s UFO Moviez India Limited, Hyderabad is providing four major equipment's with different HSN and charging Lease rental for entire set in single invoice. 7.3 The applicant interprets that the services ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....gle price is a mixed supply. Each of these items can be supplied separately and is not dependent on any other. It shall not be a mixed supply if these items are supplied separately; (i) The tax liability on a composite supply or a mixed supply shall be determined in the following manner:- (a) a composite supply consisting of two or more taxable supplies, one of which is a principal supply, shall be treated as a supply of such principal supply; and (b) a mixed supply consisting of two or more taxable supplies, shall be treated as a supply of that particular supply which attracts the highest rate of tax. 7.4 As per the definition of composite supply under Section 2(30) of the CGST Act, a supply is said to be a co....
X X X X Extracts X X X X
X X X X Extracts X X X X
....y, the supply of goods being the principal supply. The rule, therefore, is, if various elements of a bundled service arc naturally bundled in the ordinary course of business, it shall be treated as provision of a single service which gives such bundle its essential character. 7.5 The CBIC in its Flyer No.4, dated 5-8-2019 has listed some indicators to accelerin whether the bundled services arc naturally bundled in the ordinary course of business, as under:- • The perception of the consumer or the service receiver. If large number of service receivers of such bundle of services reasonably expect such services to be provided as a package, then such a package could be treated as naturally bundled in the ordinary course of busin....
X X X X Extracts X X X X
X X X X Extracts X X X X
....d be affected. 7.6 We find that none of the indicators mentioned above apply to the supply intended to be made by the applicant. Majority of businesses which arc similar lo the applicant's do not provide such bundling as a matter of course. Therefore, we are of the view that the supply of "DCE" will not constitute a composite supply. 7.7 This brings us to the next question as to whether, such supply would fall under mixed supply. As per Section 2 (74) of the CGST Act, 2017, a mixed supply means two or more individual supplies of goods or service or any combination thereof', made in conjunction with each other for a single price where such supply does not constitute a composite supply. From the definition, we find that only those bundl....