2019 (5) TMI 963 - AAR - GST

Permission for withdrawal of Advance Ruling Application - supply or not - activity of construction of complex or building intended for sale to a buyer wholely or partly, where the entire consideration has been received / receivable after completion of construction - HELD THAT - The application filed by the Applicant for advance ruling is disposed off as withdrawn.

Summary

Issues:
1. Application for advance ruling under Section 97 of CGST Act, 2017 & KGST Act, 2017.
2. Whether construction of complex or building for sale after completion constitutes taxable service.

The case involved an application for advance ruling by a firm engaged in construction activities seeking clarity on whether constructing a building or complex for sale post-completion qualifies as a taxable service. The Applicant sought guidance under Section 97 of the CGST Act, 2017, and KGST Act, 2017, by submitting the necessary forms and payment challans. The specific question raised was whether the construction activity, where the full consideration is received after completion, should be considered a taxable service.

Despite the application, no representation was made during the scheduled hearing date. Subsequently, the Applicant requested withdrawal of the application through a letter dated 23.03.2019, received on 26.03.2019. Due to the absence of any representation and the withdrawal request, the Authority for Advance Rulings decided to dispose of the application as withdrawn. The ruling was made accordingly, closing the matter without further deliberation or decision on the taxation aspect of the construction activity in question.