2018 (9) TMI 118 - HC - GST

Levy of CGST, SGST and IGST - duty free shops at international airports in India - seeking of interim direction be issued to the Board through member GST to issue necessary clarification regarding eligibility of refund of accumulated credit of CGST, SGST and IGST paid by the duty free shops on goods and services supplied by the Indian supplier. Held that - The learned Counsel for the respondents is directed to seek instructions from the Board for issuance of clarification and response - List immediately after ten days.

Summary

Issues:
Interpretation of liability for CGST, SGST, and IGST on transactions in duty free shops at international airports in India.

Analysis:
The petitioner argued that transactions in duty free shops at international airports in India should not be subject to CGST, SGST, and IGST as they are considered to take place outside India. The petitioner requested an interim direction to the Board for clarification on the eligibility of refund of accumulated credit of CGST, SGST, and IGST paid by duty free shops on goods and services supplied by Indian suppliers. The petitioner referenced a decision of the Apex Court in the case of M/s. Hotel Ashoka versus Assistant Commissioner of Commercial Taxes.

The High Court directed the learned Counsel for the respondents to obtain instructions from the Board for issuing clarification and response within ten days, considering the matter as settled by the Apex Court. The Court scheduled the next hearing immediately after the specified period for compliance with the directive.