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TMI Blog2018 (6) TMI 1195X X X X Extracts X X X X X X X X Extracts X X X X ..... plicant has submitted that they do not have their own warehouse / godown space. They have occupied the same from Government / Private parties. As a part of their services, they provide service of warehouse / space on rent to their customers, where they store imported agricultural commodities. The applicant has requested for advance ruling on the applicability of GST for invoices raised to their clients for storage charges for storing their imported agri product in godowns at Gandhidham after custom clearance from port & shifted at Gandhidham for storage in their godown at distance of 10/12 kms from Port. 2.1 The Goods & Services Tax and Central Excise Commissionerate, Kutch (Gandhidham), inter-alia informed that Para 1(a) of Section 7 of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imed by the warehouse owner in their GST return. No such type of exemption is available under GST regime in respect of imported agricultural commodities. 2.4 It is further opined that as per Section 7(1)(a) of the CGST Act, 2017, the activity carried out by the applicant appears to be in the nature of trading of storage space and even if it is considered as 'sub-letting', then also it is classified as renting of immovable property falling under the definition of supply of services and CGST shall be levied on all intra-state supplies as per Section 9 of CGST Act, 2017 and IGST shall be levied on all inter-state supplies as per provisions of Section 5 of the IGST Act, 2017. The applicant can avail Input Tax Credit for tax paid by the w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arises whether the service of providing warehouse/ space on rent can be considered as 'storage or warehousing' service or 'renting of storage premises'. 6.3 In this regard, we observe that there is difference between 'storage or warehousing' service and 'renting of storage premises' service. The 'storage and warehousing service' provider normally make arrangement for space to keep the goods, loading, unloading and stacking of goods in the storage area, keeps inventory of goods, makes security arrangements and provide insurance cover etc. In a case where a person only rents the storage premises, he does not provide any service such as loading / unloading, stacking, security etc. Mere renting of space cannot be said to be in the natur ..... X X X X Extracts X X X X X X X X Extracts X X X X
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