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TMI Blog2020 (2) TMI 497X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant is not entitled to ITC of GST paid on replacement of existing Lift/Elevator, in its premises. Thus, input tax credit not allowed - the question regarding blocked credit not required to be answered. - GST-ARA-31/2019-20/B-13 - - - Dated:- 22-1-2020 - SMT. P VINITHA SEKHAR, AND SHRI. A. A. CHAHURE, MEMBER PROCEEDINGS (Under Section 98 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017) The present application has been filed under Section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as the CGST Act and MGST Act ] by M/s. LAS PALMAS CO-OPERATIVE HOUSING SOCIETY LIMITED, the applicant, seeking an advance ruling in respect of the following questions. 1. Whether the Applicant - a Co-operative Housing Society paying Goods and Services Tax (GST) on Maintenance Charges collected from its Members, shall be entitled to claim Input Tax Credit of GST paid on replacement of existing lift/ elevator at its own premises to the vendor registered under the Goods and Services Tax Act for manufacture, supply, installation and co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... view that - - Manufacture, Supply, Installation and Commissioning of Lifts/ Elevators is in the nature of Works Contract activity which is covered under the category of services under the GST Act; - the Lift is an equipment which shall be fixed to earth by foundation and structural support and used for making outward supply of services to its members; - equipment is plant and machinery as per the Explanation mentioned in Section 17 of the Goods and Services Tax Act, 2017; - Plant and Machinery is not covered under the blocked list of ITC u/s. 17; and - Therefore Applicant is entitled to claim ITC as per the provisions of the Goods and Services Tax Law. 03. CONTENTION - AS PER THE JURISDICTIONAL OFFICER The jurisdictional office has made written submissions as under:- Details of benefit of notification of Service Tax if any availed:- As per Sr. No. 28(c) of Notification No. 25n012 - S.T. 28. Service by an unincorporated body or a non-profit entity registered under any law for the time being in force, to its own members by way of reimbursement of charges or share of contribution (a) as a trade union; (b) for t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the building in which the lift is to be installed. The erection of a lift has, to be correlated with and tailored, to meet the needs and requirements of a particular building. Once the lift is installed and commissioned in the building, it becomes integral part of the immovable property i.e. the building. The lift when installed in the building makes the building fit for occupation and becomes a permanent fixture of the building itself. Hence the same will be considered as an immovable property. The Authorized Representative was asked to submit the copy of contract and related documents during the course of the hearing held on 12.12.2019. On 02.01.2020, the applicant submitted a copy of Invoice No. 9-LIFT/2019-20 on a Flat Owner showing a contribution of ₹ 51,445/-, plus GST thereon towards installation of a new lift. They have also submitted a copy of Circular No. 109/28/209-GST dated 22.07.2019 which contains clarifications pertaining to issues related to GST on monthly subscription/contribution charged by a Resident Welfare Association from its members. However the applicant has not submitted any copy of contract in respect of erection and installation of lift in their bui ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ection 17 (5) (d) is reproduced as under:- Notwithstanding anything contained in sub-section (1) of Section 16 and sub-section (1) of Section 18, input tax credit shall not be available in respect of goods or services or both received by a taxable person for construction of an immovable property (other than plant or machinery) on his own account including when such goods or services or both are used in the course or furtherance of business. The Explanation to Section 17 states that - For the purposes of this Chapter and Chapter VI, the expression plant and machinery means apparatus, equipment, and machinery fixed to earth by foundation or structural support that are used for making outward supply of goods or services or both and includes such foundation and structural supports but excludes - (i) Land, building or any other civil structures; (ii) Telecommunication towers; and (iii) PipeIines laid outside the factory premises. Explanation to Section 17(5) is very clear. ITC is available for plant and machinery . Plant and machinery means apparatus, equipment, and machinery fixed to earth by foundation or structural support that are use ..... X X X X Extracts X X X X X X X X Extracts X X X X
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