TMI Blog2018 (9) TMI 1769X X X X Extracts X X X X X X X X Extracts X X X X ..... Question Papers are not the property of the Applicant - the Question Papers supplied by the Applicant to their customers are not marketable commodities in the open market and as goods they have no legitimate value to persons other than the specific customer who provides the input content. The Applicant, therefore, cannot be said to be supplying Question Papers as “goods” under the GST Act, but to be supplying the service of printing. Hence, the SAC is to be determined and not the HSN. Again, every transaction is a contract, but open market transactions in Question Papers as goods, being illegal, are not enforceable by law and void contracts in terms section 2(g) of the Indian Contract Act, 1872, and, therefore, beyond the ambit of the GST Act. It follows that classification under the Tariff Act, for the purpose of the GST Act, is also not applicable in such cases - The service is taxable under serial no. 27 of Notification No. 11/2017-CT (Rate) dated 28/06/2017, as amended from time to time, provided the materials being printed are goods classifiable under Chapter 48 or 49 of the Tariff Act and taxable under the GST Act. As transactions in Question Papers as goods is beyond the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o be charged? The Applicant also wants to know whether credit of the GST paid on the inputs used for provisioning the supply can be availed. Advance Ruling is admissible on these questions under Sections 97(2)(a),(d) (e) of the CGST/WBGST Acts, 2017 (hereinafter referred to, collectively, as the GST Act ). The Applicant further submits that the question raised in the Application is neither decided by nor pending for decision before any authority under any provisions of the GST Act. The officer concerned raises no objection to admission of the Application. The Application is, therefore, admitted. 2. The Application states that the Applicant is registered under HSN 4901 under GST and is providing services by way of printing question papers for various examinations, conducted by the Council of Higher Secondary Education of various States, Joint Entrance Boards, various UGC granted Universities in India and by various authorities of vocational educations. The Councils/Boards/Universities/Institutions are supplying the matter to be printed to the Applicant, who is providing the paper, ink, other inputs, manpower, machinery, etc to print the given matter in appropriate qu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it is stated that the Government may, on recommendations of the Council, specify, by notification, whether certain transactions are to be treated as supply of goods or services. 5. No Notification has been issued regarding the status of supply of Question Papers. Hence, Section 7(3) of the GST Act is not relevant for consideration. The Applicant has neither been notified to be an authority under Section 7(2) of the GST Act, nor is the activity of supplying printed question papers listed in the said Schedule III. Section 7(1) along with the relevant portions of Schedules I and II clearly state that transfer of title in goods is a supply of goods and in the absence of such transfer, even in the future, is to be considered as supply of services. 6. As stated in the Application and in the arguments of the Applicant at the time of Personal Hearing the content of the matter printed referred to above, is being provided to the Applicant, and to print the same, i.e to convert the matter into a tangible form, necessary raw material, manpower and machinery is being provided by the Applicant. In other words, the content of the printed matter is specific to the customer, and, neither is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eous services which include Education Services (covering services related to admission to or conduct of examination by Educational Institutions) under Heading 9992. Since the Applicant has specified the printing of question papers for Educational Institutions, supply of service under Section 9 of the GST Tariff is found to be appropriate. 9. GST Rates for services whether or not exempt are governed by Notifications No. 11/2017-CT (Rate) and 12/2017-CT (Rate) dated 28/06/2017, as amended from time to time. No exemption is granted for supply of printing services to Government/Government aided Educational Boards/Councils/Universities/Institutions merely by virtue of being Government/Government-aided Institutions. Notification No. 12/2017-CT.(Rate) dated 28/06/2017, however, deals with Educational Board/Councils/Universities etc whether or not they are Government/ Government-aided. 10. Serial No. 66(b)(iv) of Notification No. 12/2017 CT(Rate) dated 28/06/2017, as amended from time to time, as applicable, wholly exempts services provided to an Educational Institution relating to conduct of examination. The phrase relating to expands the scope of this entry to include such suppor ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
