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TMI Blog2020 (5) TMI 220X X X X Extracts X X X X X X X X Extracts X X X X ..... ct charges for vahana pooja - HELD THAT:- These are supply of services falling under SAC 9997 and are covered under the entry no.35 of Notification No.11/2017-Central Tax (Rate) dated 28.06.2017 and are liable to CGST at the rate of 9%. Similarly, they are also liable to tax at 9% under KGST under entry no.35 of Notification (11/2017) No. FD 48 CSL 2017 dated 29.06.2017. Sales of prasadam by the applicant - HELD THAT:- The sale is exempt from tax as per entry no. 98 of the Notification No.2/2017 - Central Tax (Rate) dated 28.06.2017 and entry no.98 of Notification (02/2017) No. FD 48 CSL 2017 dated 29.06.2017. But if goods other than prasadam are sold, they would be liable to tax at appropriate rates applicable to those goods. Renting of commercial shops - HELD THAT:- The services are exempt if the rental value is less than ₹ 10,000-00 per month per shop as they are covered under the entry no. 13 of the Notification No.12 /2017- Central Tax (Rate) dated 28.06.2017 and entry no.13 of the Notification (12/2017) No. FD 48 CSL 2017 dated 29.06.2017. But if the rent per shop is more than ₹ 10,000-00 per month, the same would be liable to tax at 9% CGST under SAC 9972 u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rules 2017 86 Section 97 of KGST Act, 2017 read with Rule 104 of KGST Rules 2017, in FORM GST ARA-01 discharging the fee of ₹ 5,000-00 each under the CGST Act and the KGST Act. 2. The Applicant is registered under provisions of the Goods and Services Act, 2017. The applicant had sought advance ruling in respect of the following activities are liable to taxes or not narrated as under: 1. The Authority has floated tenders for collection of vehicle entry fees, which is an access to temple premises. The highest bidding was at ₹ 56,08,077-00. The Authority wants to know whether KGST/ CGST has to be collected on the said amount. 2. The Authority sells laddoos, kallu sakkare, Thirtha Prasada, Cloth bags, and other articles beginning from ₹ 5/- up to ₹ 100/-. Whether KGST / CGST has to be collected on the same. 3. The Authority has approximately 100 shops which are given on lease through auction. Once in a year the Authority conducts public auction and the highest bidder is permitted to run the shop for a year. Whether KGST / CGST has to be collected on the same. 4. The Authority also conducts e-procurement auction for the service of tonsurin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er by itself or sells off the rights to provide such services and in lieu of this collects the money consideration. c. With regard to Seva Services, the Applicant states that the Authority is performing several Seva Services in the form of Pooja to the main deity, the Lord MALAI MAHADESHWARA SWAMY in the precincts of temple and charges the prescribed rates for the services offered to the devotees. The rates charged for different services are as under. d. The Seva services provided by the applicant are as under: e. Further, the applicant had 4 to 5 lodges where it is providing accommodation services to the pilgrims and devotes visiting the temple and for this it is collecting money consideration where the value of such supply of service does not exceed ₹ 1,000-00 per day per unit of accommodation and hence the applicant Authority is not collecting any GST on the same. f. The applicant had two kalyanamatapas out of which one is located at Malai Mahadeshwara Hills and the other at Kollegal where it collects money consideration as rentals at ₹ 10,000-00 or more per day basis. Therefore the Authority is desirous to know the correctness of collectio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o know the rate of rate on each of the above. 4.2 At the time of hearing, the Advocate furnished a copy of Certificate No.F.No. D-471/12AA/CIT/MYS/09-10, dated 11-03-2010, issued under Section 12-AA of the Income Tax Act, 1961, by the Commissioner of Income Tax, Mysore. And also furnished a copy of Certificate No.F.No.S-471/80G/CIT/Mys/2010-11, dated 11-03-2010, issued under 80G of the Income Tax Act certifying that the donations made to the Sri Malai Mahadeshwara Swamy Temple Trust, Shri Malai Mahadeshwara Swamy Temple, MM Hills, Kollegal, are exempt under Section 80G (5) (vi) of the Income Tax Act, 1961, in the hands of the donor (s) subject to the limit prescribed therein. 5. FINDINGS 8s DISCUSSION: 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 Y.C. Shivakumar, Advocate of the applicant during the personal hearing. We have also considered the issues involved, on which advance ruling is sought by the applicant, and relevant facts. 5.2 At the outset, we would like to make it clear that the provisions of both the Central Goods and Services Tax Act, 2017 and the Karnataka G ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the services provided by the applicant under the category of seva services are for religious ceremonies and poojas. Sub-section (1) of Section 7 of the CGST Act, 2017 reads as under: 7. Scope of Supply.- (1) For the purposes of this Act, the expression supply includes - (a) all forms of supply of goods or services or both such as sale, transfer, barter, exchange, license, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business; (b) . . . . . (c) . . . . . 7.2 From the above it can be seen that the seva services are not in the course or furtherance of business and hence the same cannot be covered under the scope of supply, though there is money received by the applicant for the same. Further, even the definition of consideration also states that the money received should be in relation to the supply of goods or services or both and since the same does not fall under supply, the money received is not a consideration in relation to the supply of goods or services or both. Hence the seva services provided by the applicant is not a supply and hence is not a part of the turnover and hence ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant, which is related to the question no. 2, it is seen that the entry no. 98 of the Notification No.2/2017 -Central Tax (Rate) dated 28.06.2017 exempts the goods falling under Prasadam supplied by religious places like temples, mosques, churches, gurudwaras, dargahs, etc. . It is very clear from the above, the items of prasadam sold by the applicant are exempt from GST. But if the applicant sells items other than edible items falling under HSN 2106, like cloth bags, and other articles, then such goods are liable to tax at the appropriate rates as they do not form part of prasadam. 10. Regarding the question no.1 related to the auctioning for collection of vehicle entry fees, question no.4 related to auctioning of service of tonsuring the heads of devotees, question no.8 related to the auctioning of right to collect service charges and question no.10 related to auctioning of the right to collect charges for vahana pooja, it is seen that in all of them, the applicant is transferring the right to provide certain services for a consideration and is not itself providing the services. These are supply of services falling under SAC 9997 and are covered under the entry no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Kalyanamandapam where the charges are less than ₹ 10,000-00 per day and hence the same is covered under this entry and hence is exempt from the levy of CGST. 13. Regarding the question in No.11, it is seen that the applicant is collecting vehicle entry fee which is an access to the temple premises, the same is verified and the entry no.23 of Notification No.12/2017- Central Tax (Rate) dated 28.06.2017 reads as under 23 Heading 9967 Service by way of access to a road or a bridge on payment of toll charges. Nil Nil The access as per the applicant, is provided to the temple premises and not to a road or a bridge and hence is not covered under this entry. Further, it is not even renting of precincts of a religious place meant for general public to be covered under entry no.13 of Notification No.12/2017 - Central Tax (Rate) dated 28.06.2017. Hence this is not covered under any exemption notification. Further SAC is verified and the same is covered under SAC 9967 and hence covered under entry 11 (H) of Notification No.11/2017- Central Tax (Rate) dated 28.06.2017 and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ST under SAC 9972 under entry no.16 of Notification No.11/2017- Central Tax (Rate) dated 28.06.2017 and at 9% KGST under entry no.16 of Notification (11/2017) No. FD 48 CSL 2017 dated 29.06.2017. 4. Regarding question no.5 relating to providing of services of accommodation to pilgrims where the charges are less than ₹ 1000 per day per room, the same is exempt vide Notification No.12/2017 - Central Tax (Rate) dated 28.06.2017 and Notification (12/2017) No. FD 48 CSL 2017 dated 29.06.2017. 5. Regarding question no.6 relating to collection of seva charges and question no.7 relating to the collection of special darshan charges, the same is exempt from CGST and KGST as they are not covered under supply and also exempt as they are covered under entry no 13(a) of Notification No.12/2017- Central Tax (Rate) dated 28.06.2017 and Notification (12/2017) No.FD 48 CSL 2017 dated 29.06.2017 respectively. 6. Regarding question no.9, relating to renting out Kalyanamandapams, the same is exempt from CGST and KGST, if the rental is less than ₹ 10000-00 per day, as per entry no 13(b) of Notification No.12/2017- Central Tax (Rate) dated 28.06.2017 and Notification (12/2017) No.FD ..... X X X X Extracts X X X X X X X X Extracts X X X X
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