2019 (8) TMI 473 - AAR - GST

Permission for withdrawal of Advance Ruling application - Zero rated supply of service or not - providing research report on activity carried out as a study of a chemical or biological entity that is still in research stage - HELD THAT - The Applicant have requested to permit them to withdraw the application filed for advance ruling. The application filed by the Applicant for advance ruling is disposed off as withdrawn.

Summary

Issues Involved:
- Application for advance ruling under Section 97 of CGST Act, 2017 and KGST Act, 2017.
- Determination of whether providing a research report on a chemical or biological entity in the research stage, supplied by a party outside India, qualifies as an export of service under subsection 2 of section 13 of the IGST Act, 2017.

Analysis:
1. The Applicant, a company engaged in research and development, sought an advance ruling to clarify the export status of providing research reports on chemical or biological entities in the research stage. The key question was whether such services, supplied by a party outside India, qualify as zero-rated supplies under the IGST Act, 2017.

2. The Applicant's representative, a Chartered Accountant, presented arguments on behalf of the Applicant before the Authority. However, subsequently, the Applicant requested to withdraw the application for advance ruling through a formal letter dated 15.07.2019.

3. Considering the withdrawal request, the Authority for Advance Ruling, Karnataka, disposed of the application as withdrawn. This decision signifies the conclusion of the ruling process without issuing a formal ruling due to the Applicant's request to withdraw the application.

This detailed analysis encapsulates the legal proceedings and the ultimate decision taken by the Authority in response to the application for advance ruling concerning the export status of research report services provided by the Applicant company.