9911796707
TMI Blog2023 (7) TMI 188X X X X Extracts X X X X X X X X Extracts X X X X ..... oading and unloading of unprocessed toor and whole pulses and black matpe is eligible for exemption being loading and unloading services of agricultural produce as specified under serial number 54(e) of Notification No. 12/2017 - Central Tax (Rate) dated 28/06/2017 (corresponding State Notification No. 1136 F.T. dated 28/06/2017), as amended from time to time. As per serial number 54 of Notification No. 12/2017 -Central Tax (Rate) dated 28/6/2017, services relating to the cultivation of plants, inter alia, for agricultural produce are exempt and classified under SAC 9986. However, a conjoint reading of the aforesaid entry and the definition of agricultural produce delineates that the said services can be eligible for exemption where such services are supplied till the products are taken to the primary market for disposal. The expression makes it marketable for primary market in the definition of agricultural produce bears a significant importance. The term 'primary market' has not been defined in the GST Act. However, on the basis of location or place of operation, such markets in relation to agricultural produce are located in towns near the centres of p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the date of communication of this Ruling, or within such further time as mentioned in the proviso to Section 100 (2) of the GST Act. Every such appeal shall be filed in accordance with Section 100 (3) of the GST Act and the Rules prescribed thereunder, and the Regulations prescribed by the West Bengal Authority for Advance Ruling Regulations, 2018. 1.1 At the outset, we would like to make it clear that the Central Goods and Services Tax Act, 2017 (the CGST Act, for short) and the West Bengal Goods and Services Tax Act, 2017 (the WBGST Act, for short) have the same provisions in like matter except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean reference to the corresponding similar provisions in the WBGST Act. Further to the earlier, henceforth for the purposes of these proceedings, the expression GST Act would mean the CGST Act and the WBGST Act both. 1.2 The applicant is stated to be engaged in stevedoring and cargo handling in the Kolkata Dock Complex and is specialized in handling cargo such as food grain, fertilizers, coal, iron ore, break bulk/project cargo, etc. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2017 which reads as follows: Services relating to the 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 by way of .. -................. (e) loading, unloading, packing, storage, or warehousing of agricultural produce; . 2.4 The applicant submits that though the term agricultural produce has not been defined in the GST Act, the same has been defined in the Notification No. 11/2017-Central Tax (Rate) and 12/2017- Central Tax (Rate) both dated 28-6-2017 as follows: 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, fiber, 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 a cultivator or producer which does not alter its essential characteristics but makes it marketable for primary market. In the instant case the applicant is also not making activity which alters the essential characteristics of the Yellow toor dal black matpe. 2.5 Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... been husked or splitted or both before arrival. From the application no such information could be found. Actual nature and condition of the imported goods need to be ascertained to arrive at a decision. (iv) So it seems that without physical verification of samples of imported items, the exact taxability or exemption of the related services like loading and unloading is not possible to ascertain. (v) Here it is to point out that the Notification No. 11/2017-Central Tax (Rate) and 12/2017 also described the benefit to agriculture items. But in order to specifically decide whether the imported goods under question is to be considered as agriculture produce or not the proposal at point no.(iv) above is to be considered. 4. Observations Findings of the Authority 4.1 We have gone through the records of the issue as well as submissions made by the authorised representative of the applicant during the course of personal hearing. We have also considered the submission made by the officer concerned from the revenue. 4.2 The applicant is stated to be acting as a stevedore. In the instant case, the applicant has filed the application seeking an advance ruling whethe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Appellate Authority for Advance Ruling has observed that The term primary market in common parlance refers to farmers market like mandi or arhat being a place where the farmers directly sell their product to the buyers like wholesalers, millers, food processing units, etc. The spirit of the legislature was intended to boost the agricultural sector of the home country and not that of a foreign land. The primary market in the instant case being located in foreign shores does not conform to the definition as stated above. Further there is no evidence that the grains have not undergone any type of treatment before leaving the foreign country from where they have been imported into India. 4.7 The applicant has also sought for an advance ruling on applicability of clarification given in circular No 16/16/2017-GST dated 15.11.2017 in his case. Circular No. 16/16/2017-GST dated 15/11/2017 issued by CBIC clarifies that pulses (de-husked or split) are not considered as agricultural produce since the process of de-husking or splitting of pulses is usually not carried out by farmers or at farm level but by the pulse millers. It therefore appears that for the purpose of agricultural ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
