TMI Blog2020 (1) TMI 1044X X X X Extracts X X X X X X X X Extracts X X X X ..... te 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. If it is supply of services, referring to Sr. No. 27 of Notification No. 11/2017-C.T. (R), dated 28-6-2017 as amended by Notification No. 31/2017-C.T. (R), dated 13-10-2017, then benefit of S. No. 66 of Notification No. 12/2017-C.T. (R), dated 28-6-2017 is allowable as amended by Notification No. 2/2017-C.T. (R), dated 25-1-2018? - HELD THAT:- As defined in clause (y) of Para 2 of the said Notification No. 12/2017-Central Tax (Rate) 'Educational Institutions' means an institute providing services by way of (i) pre-school education and education up to higher secondary school or equivalent; (ii) education as a part of curriculum for obtaining a qualification recognized by any law for time being in force; (iii) education as a part of an approved vocational education course. The benefit (exemption from payment of GST) of Sr. No. 66 of Notification No. 12/2017-Central Tax (Rate) is admissible only in case where service is provided to an educationa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o. 66 of Notification No. 12/2017-C.T. (R), dated 28-6-2017 is allowable as amended by Notification No. 2/2017-C.T. (R), dated 25-1-2018; or (c) If it is supply of goods, then question paper should be treated as exempted goods at S. No. 119 of exempted list at NIL rate of tax under chapter heading/sub-heading of 4901 10 10 of printed books including Braille books ; or (d) It should be covered by Schedule I at S. No. 201 liable to tax at 2.5 CGST under brochures, leaflets and similar printed matter, whether or not is single sheets . 5. The application for advance ruling was forwarded to the Jurisdictional GST Officer to offer their comments/views/verification report on the matter, which were received in the office vide Letter C. No. V (30)61-Advance Ruling/LKO-II/19/998, dated 7-5-2019. 6. The applicant was granted a personal hearing on 22-5-2019. Shri Ravindra Joshi, Advocate and the Authorized Representative on behalf of applicant appeared for hearing. During the personal hearing Shri Ravindra Joshi stated that they have already submitted their views and supporting documents along with their application dated 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2017, as amended, which provide CGST rate of 2.5% for 'Brochures, leaflets and similar printed matters whether or not single sheets' of Chapter Heading 4901. 10. We also find that the Applicant has submitted that its entire operations are in the field of education and relates to printing of Question Papers for examination conducted by various State Universities and Educational Boards; all its customers are Government Bodies of the State Governments. Further, as per Chapter Heading 4901 'Printing of Books' attracts no GST as they have been given exemption in view of their contribution to the betterment of society through the field of education. Applicant's work is also part of the same objective. It is submitted that exemption is given for printing of books, printing of question papers should also be exempted. The applicant has submitted that the printing of question paper is of sheet/ confidential nature therefore it should attract Nil rate/ exempt from tax, otherwise disclosure of name of customer/buyer in Tax Invoice and providing details in GSTR-1 in certain cases would be contradictory to secrecy clause of agreement with the leakage of Question ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s case is whether activity of printing of question papers by the applicant for its clients should be treated as supply of goods or supply of service, since, (a) The manuscript material for printing the question papers relating to the examination is supplied to the applicant by the Education Board/ Educational Institutes. The scope of work of the applicant relates to compose, typeset, print, pack, transport, unload and supply sealed Question Papers to the Education Board/ Educational Institutes. (b) As the usage right of the manuscript material of Question Papers (intangible inputs) are owned by the Education Boards/ Educational Institutes and the physical inputs used for printing belong to the applicant, supply of printing is the principal supply in this case and the same would constitute supply of service falling under Heading 9989 of the scheme of classification of services. 14. In other words, the content of the printed matter is specific to the customer, and, neither is the matter pre-printed, nor has the Applicant any ownership to the content at any point of time, and, therefore, cannot transfer title of the above printed matters. Henc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 16. In view of the above, we unanimously rule as under : RULING Question 1 :- The activity of printing of question papers by the applicant is activity of supply of services classifiable under Heading 9989 of the scheme of classification of services. Question 2 :- The benefit of Sr. No. 66 of Notification No. 12/2017-Central Tax (Rate) is admissible only in case where service is provided to an educational institution [(as defined in clause (y) of Paragraph 2 of the Notification No. 12/2017-Central Tax (Rate)]. The services of printing of question paper, supplied by the applicant to other than 'educational institutions' will be covered by Sr. No. 27(i) of Notification No. 11/2017-Central Tax (Rate), as amended, and will attract Goods and Services Tax @ 12% (CGST 6% + SGST 6% or IGST 12%). Question 3 :- No, it is not supply of goods. Question 4 :- Fourth question raised by the applicant is applicable only when third question is affirmative i.e., activity of printing of question papers on behalf of educational institutions is considered as supply of goods, as the answer ..... X X X X Extracts X X X X X X X X Extracts X X X X
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