Home Case Index All Cases GST GST + AAR GST - 2022 (4) TMI AAR This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (4) TMI 404 - AAR - GSTValuation of service - contract for construction of road to the applicant by NHAI - time of supply - escalation in value during the course of completion of service, i.e. construction of road as per contract - whether such escalated value shall be added to the taxable value u/s 15 of the act or otherwise? - HELD THAT:- Section 15 (1) says that the value of a supply of goods or services or both shall be the Transaction value and the transaction value in the subject case will also include the escalated value (as per the impugned contract), which is being recovered from NHAI by the applicant, both being unrelated parties. Therefore, such escalated price/value which is added to contract price shall be liable for payment of GST as per the said provision of Section 15 of the Act - As per the provisions of Section 15(1) of CGST Act, 2017, the actual transaction value which includes the escalated value should be considered for payment of tax under GST Laws. Thus, the escalated value shall be added to the original value of the contract and the total of the escalated value plus the original value of the contract will be the transaction/taxable value u/s 15 of the Act, on which GST must be discharged by the applicant.
|