2018 (7) TMI 1423 - AAR - GST

Export of services - Whether the auxiliary services provided by H&M Hennes & Mauritz India Private Limited to Plus Trading Far East Limited, Hong Kong in terms of Auxiliary Services Agreement dated 19th January 2015 (effective from 01 February 2015) qualify as Export of Services under Section 2(6) of the Integrated Goods and Service Tax Act 2017 and hence be treated as zero rated supplies in terms of Section 16 of the IGST Act? Held that - The Applicant requested to permit them to withdraw the application filed for advance ruling vide their letter dated 27.06.2018 - The application filed by the Applicant for advance ruling is dismissed as withdrawn.

Summary

Issues involved:
Advance ruling sought on whether auxiliary services provided by a company qualify as export of services under IGST Act.

Analysis:
The case involved an application for advance ruling filed by a company engaged in providing auxiliary support services to its overseas entity. The applicant sought clarification on whether the services provided qualified as export of services under the IGST Act, thus potentially being treated as zero-rated supplies. The applicant, a subsidiary of a Swedish company, was involved in offering support services to another subsidiary of the parent company based in Hong Kong. The services included supplier training, HR, and administrative functions.

During the proceedings, the applicant submitted relevant documents and appointed legal representatives to present their case. The authorized representatives attended personal hearing sessions and made submissions on behalf of the applicant. However, subsequently, the applicant expressed their intention to withdraw the advance ruling application through a formal letter dated 27.06.2018.

Upon considering the submissions, facts, and the applicant's request to withdraw the application, the Authority for Advance Ruling dismissed the application as withdrawn. The ruling was based on the applicant's voluntary decision to withdraw the advance ruling application, thereby concluding the proceedings without issuing a formal decision on the classification of the services provided by the company.