Home Case Index All Cases GST GST + AAR GST - 2022 (5) TMI AAR This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (5) TMI 962 - AUTHORITY FOR ADVANCE RULING, GUJARATNature and classification of service - imparting educational training by developing and running Post - graduate fellowship courses & diplomas in the field of critical care medicine and providing basic training in intensive care for non-specialists - Service provided by ISCCM to the delegates - Service provided by ISCCM to the exhibitors - nature of service and classification in accordance with Notification No. 11/2017-CT(R), dated 28.06.17 in respect of brand promotion packages - liability of service tax under Reverse Charge Mechanism - admissibility of Input Tax Credit - Services provided by the hotel including accommodation, food & beverages - Supply of food and beverages by outside caterers - Services provided by event manager like pickup & drop, exhibition stall set-up, tenting, etc. ISCCM supply to delegates - principal supply or composite supply - HELD THAT:- ISCCM supplies a composite package to its delegates, at an all inclusive registration fees, comprising of the following services: Technical Seminars, Access to exhibition, Hotel Room Accommodation, Cultural program, lunch & dinner, Airport Pick Up & Drop - the principal supply of ISCCM to its delegates attending the conference is imparting knowledge/ workshops on topics of medical field. For this very reason the delegates desire to attend the conference and not merely for supporting services such as hotel accommodation or air port pick up and drop - Professional Service supply is the essence of the package of services supplied by ISCCM to its delegates and is thereby the principal supply by ISCCM to its delegates. ISCCM supply to Exhibitors - HELD THAT:- ISCCM is organizing trade fair and exhibition. Its exhibitors showcase and exhibit their products/ services. The participation fees charged by ISCCM on these exhibitors is for the service of organizing exhibition for the exhibitors which finds entry at SAC 998596 under ‘events, exhibitions, conventions and trade shows organisation and assistance services’. Tax Liability for showcasing name/logo/brand of other persons by ISCCM - HELD THAT:- ISCCM supplies Sponsorship services to its respective customers which finds entry at SAC 998397 under the category of ‘Sponsorship services and brand promotion services’. We note that with regard to sponsorship service GST liability is on Reverse Charge Mechanism on the service recipient when the recipient is located in the taxable territory, vide Notification 13/2017- CT(R) dated 28-6-17. It is found that the supply in this regard to be Sponsorship service supply and dismiss ISCCM’s submission that this supply is brand promotion supply. Admissibility of ITC by ISCCM - HELD THAT:- Hotel’s principal supply to ISCCM is Convention Service. ISCCM’s submission that hotel’s principal supply is accommodation service supply, is dismissed.Either the hotel raises an itemised bill or a single price bill, ITC is admissible on all items such as convention, accommodation, food & beverages - ITC of tax paid on food and beverages will be available to ISCCM because as ISCCM receives this service from Hotel/ Caterer, it uses this service for making an outward taxable supply as an element of taxable composite supply to its delegates. Rent-a-cab service ITC to ISCCM - HELD THAT:- The Cabs have approved seating capacity of not more than 13 persons (including the driver). This service is supplied to ISCCM and ISCCM further supplies it as a part of composite supply to the delegates and thereby the proviso to Section 17(5)(b)(i) CGST Act is satisfied for admissibility of this ITC - In terms of Section 16(1) CGST Act, Exhibition stall set-up and tenting is an input service to ISCCM used in its business, thereby its ITC is admissible.
|