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TMI Blog2019 (10) TMI 525X X X X Extracts X X X X X X X X Extracts X X X X ..... erations on payment of Integrated Tax or Supply meant for Export / Supply to SEZ unit or SEZ Developer for authorised operations under Bond or letter of Undertaking without payment of Integrated Tax as the case may be - Therefore on reading Section 16(1)(b) of IGST Act, 2017 Rule 46 of CGST Rules 2017 together it is clearly evident that the supplies of goods or services or both towards the authorised operations only shall be treated as Supplies to SEZ Developer / SEZ unit. Thus, the present transaction proposed to be made by the applicant where he provides the accommodation services in his hotel to SEZ Unit would be treated as inter-State supply. Whether this supply of services to a SEZ Unit would be treated as a Zero rate supply? - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hotel, the location of the supply is also the location of immovable property i.e. hotel. Services rendered by hotels are intra-state as location of the supplier and the place of supply is in the same State. Accordingly accommodation services attract CGST+SGST (of the relevant state) irrespective of the fact whether receiver of service is located in same state or in the state other than the State where hotel is located. 2.2 Further, dealer submits that Section 7(5)(b) of the IGST Act 2017 provides that supplies of goods and services to SEZ will be treated as IGST supplies and proviso to section 8(2) states that intra state supply of services shall not include services to SEZ developer or unit. Accordingly services rendered to SEZ wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5.1 We have considered the submissions made by the Applicant in their application for advance ruling as well as the submissions made by Sri. S. Hanish, Chartered Accountant and authorised representative of the applicant during the personal hearing. We also considered the issue involved, on which advance ruling is sought by the applicant, relevant facts the applicant's interpretation of law. 5.2 At the outset, we would like to state that the provisions of both the CGST Act and the KGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provisions under the KGST Act. 5.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... per or a SEZ Unit shall be treated to be a supply of goods or services or both in the course of inter-State trade or commerce. Whereas, as per section 12(3)(c) of the IGST Act, the place of supply of services by way of accommodation in any immovable property for organising any functions shall be the location at which the immovable property is located. Thus, in such cases, if the location of the supplier and the place of supply is in the same State / Union territory, it would be treated as an inter-State supply. 1.2 It is an established principle of interpretation of statutes that in case of an apparent conflict between two provisions, the specific provision shall prevail over the general provision. 1.3 In the instant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ule 89(1) of the Central Goods and Services Tax Rules, 2017 (CGST Rules in short), in respect of supplies to a SEZ developer or a SEZ unit, the application for Refund shall be filed by the: (a) supplier of goods after such goods have been admitted in full in the SEZ for authorised operations, as endorsed by the specified officer of the Zone; (b) supplier of services along with such evidences regarding receipt of services for authorised operations as endorsed by the specified officer of the Zone. 2.2 A conjoint reading of the above legal provisions reveals that the supplies to a SEZ developer or a SEZ unit shall be zero rated and the supplier shall be eligible for refund of unutilized input tax credit or inte ..... X X X X Extracts X X X X X X X X Extracts X X X X
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