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TMI Blog2019 (10) TMI 558X X X X Extracts X X X X X X X X Extracts X X X X ..... ob works charges for the above service rendered by him to the Principals. III. QUESTION(S) ON WHICH ADVANCE RULING IS SOUGHT Whether GST is applicable on the job work charges charged for manufacturing of Cattle Feed / Poultry Feed on job work basis. IV. ELIGIBILITY OF THE APPLICATION FOR ADVANCE RULING The Section 97(2) of the Central Goods and Services Tax Act, 2017, read with section 97(2) of the Punjab Goods And Services Tax Act, 2017. provides for the issues on which advance ruling can be sought. 97 (2) The question on which the advance ruling is sought under this Act, shall be in respect of.- (a) classification of any goods or services or both; (b) applicability of a notification issued under the provisions of this Act; (c) determination of time and value of supply of goods or services or both; (d) admissibility of input tax credit of tax paid or deemed to have been paid; (e) determination of the liability to pay tax on any goods or services or both; (f) whether applicant is required to be registered: (g) whether any particular thing done by the applicant with respect to any goods or services or both amounts to or results in a supply of goods or ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... related to production of any agricultural produce including cultivation, harvesting threshing, plant protection or testing; (b) .................. (c) .................. (d) .................. (e) .................. (f) .................. (g) .................. (ii) .................. (iii) Carrying out an intermediate production process as job work in relation to cultivation of plants and rearing of all life forms of animals, except the rearing of horses, for food, fibre, fuel, raw material or other similar products or agricultural produce VI. HEARING The case was taken up for hearing on 27.06.2019. Sh. Vinod Kumar, Partner and Sh. Vishal Garg, CA appeared in the Personal Hearing on behalf of the applicant and were heard in detail. During the hearing, they have submitted copies of the various representations made to different authorities and other miscellaneous correspondence I documents with CPF India Ltd.. They requested for an early clarification VII. DISCUSSIONS AND FINDINGS 1. From the analysis of the applicant's submissions and statements, the following issue merit careful consideration for final decision : (i) Whether GST is applicable on the job ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vice Rate (percent) Conditions 24 Heading 9986 (i) Support services to agriculture, forestry, fishing, animal husbandry. Explanation. - "Support services to agriculture, forestry, fishing, animal husbandry" mean (i) ............ (ii) ............ (iii) Carrying out an intermediate production process as job work in relation to cultivation of plants and rearing of all life forms of animals, except the rearing of horses, for food, fibre, fuel, raw material or other similar products or agricultural produce. NIL - 8. The Notification defines the term 'Agricultural produce' as under: "agricultural produce" means any produce out of cultivation of plants and rearing of all life forms of animals, except the rearing of horses. for food, fibre fuel, raw material or other similar products, on which either no further processing is done or such processing is done as is usually done by cultivator or producer which does not alter its essential characteristics but makes it marketable for primary market." The definition of term 'agricultural produce' includes rearing of all forms of animals for food, fibre, fuel, raw material or other similar products The word 'rearing' has not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ove processes being undertaken by the applicant are manufacturing processes and after undertaking these processes, the finished goods (Cattle Feed / Poultry Feed) are returned back to the Principal Manufacturer. who further sells the same in the market. Thus, it is clear that the activities undertaken by the Applicant are manufacturing activities. Applying the statutory provisions to the facts of the case, it is evident that Service Classification Chapter Heading 9986 covers only that genre of support services of animal husbandry like Sheep shearing, care and management of herds. pet training. grooming, etc. which are support services related to the operation of animal husbandry and does not cover the services provided by the applicant, which are manufacturing services. Therefore the services of the Applicant are not covered under the purview of SAC 9986 12. The services are rather appropriately classified under SAC 9988. The relevant portion of the Notification No. 11/2017- Central Tax (Rate) dated 28.06217 (as amended) which notifies the rates for supply of SERVICES under CGST Act is as under: S.No. Chapter Section or Heading Description of Services Rate (percent) Condition ..... X X X X Extracts X X X X X X X X Extracts X X X X
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