9911796707
TMI Blog2019 (7) TMI 44X X X X Extracts X X X X X X X X Extracts X X X X ..... spectively) by M/s. E-DP MARKETING PRIVATE LIMITED (hereinafter referred to as the Applicant), registered under the Goods & Services Tax. 2. The provisions of the CGST Act and MPGST Act are identical, except for certain provisions. Therefore, unless a specific mention of the dissimilar provision is made, a reference to the CGST Act would also mean a reference to the same provision under the MPGST Act. Further, henceforth, for the purposes of this Advance Ruling, a reference to such a similar provision under the CGST or MP GST Act would be mentioned as being under the GST Act. 3. BRIEF FACTS OF THE CASE: 3.1 That the applicants holding GSTN No. 23AAACE9455A1Z1 is engaged in the trading of various edible oils are falling under Chapter 15 o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to pay IGST on ocean freight paid on imported goods under Reverse Charge Mechanism in terms of Notification No.10/2017IT(R) and Notification No.8/2017-lT(R) irrespective of the ocean freight component having been a part of the CIF value of imported goods. 6. RECORD OF PERSONAL HEARING: Shree P.D. Nagar CA, Authorized Representative of the applicant appeared for personal hearing and reiterated the submissions already made in the application. The Applicant states that- 6.1 That the applicants are engaged in the manufacture of various edible oils which are falling under Chapter 15 of the GST Tariff and for the same they are holding GSTN No.23AAACR2892L7Z0. 6.2 That the applicant intend to import crude soya bean oil on CNF (Cost plus Freigh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ism. Relevant entry No. 10 reads as under:- Sl. No. Category of supply of Services Supplier of Service Recipient of Service 10 Services supplied by a person located in non-taxable territory by way of transportation of goods by a vessel from a place outside India up to the customs station of clearance in India A person located in non-taxable territory Importer, as defined in clause (26) of section 2 of the Customs Act, 1962 (52 of 1962), located in the taxable territory. 6.6 The Applicant stated that as per aforesaid Notification, the applicant /importer is again required to pay IGST on the component of ocean freight incurred by them under RCM mechanism. If this is paid by the applicant/importer, it will amount to double taxation of IGST ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed goods? 7.3 As detailed in foregoing paras, the Applicant is engaged in trading of various edible oils. It has been mentioned in the application that the applicant intends to import crude Soyabean Oil on CIF (Cost+Insurance+Freight) basis, which includes the component of ocean freight in the price of imported goods. Obviously, in case of such imports the seller being located in non-taxable territory, the ocean freight is collected by the seller from the importer located in the taxable territory. However, as per Notification 10/2017-lntegrated Tax (Rate) dtd.28.06.2017, [Sr.No.10], the 'Services supplied by a person located in non-taxable territory by way of transportation of goods be a vessel from a place outside India up to the customs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the validity of levy of IGST on ocean freight under RCM. We observe that any question relating to constitutional validity of the Notifications issued is not within the ambit of the jurisdiction of this Authority. Nevertheless, it is pertinent to mention here that the Notifications are issued on the basis of the recommendations of the GST Council, and the GST Council in turn is empowered by the provisions of Article 279A(4) of the Constitution of India inserted vide the Constitution (One Hundred and First Amendment Act, 2016, to make recommendations to the Union and States on- a. The taxes, cesses and surcharges levied by the Union, the States and the local bodies, which may be subsumed in the goods and services tax; c. model goods and s ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
