9911796707
TMI Blog2020 (5) TMI 216X X X X Extracts X X X X X X X X Extracts X X X X ..... the Tamil Nadu Goods and Service Tax Act are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the Central Goods and Service Tax Act would also mean a reference to the same provisions under the Tamil Nadu Goods and Service Tax Act. The Tiruchengode Agricultural Producers Co-operative Marketing Society Ltd., Tiruchengode- 637211, Namakkal District,(hereinafter referred as 'Applicant' or 'Society') is registered as a cooperative society under the Tamilnadu Co-operative Societies Act and Rules, regulated and governed by the Department of Cooperation of the Government of Tamilnadu. They are registered under the GST Act 2017 vide GSTIN 33AAAAT2058C1ZO. The app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in auction sale is agricultural produce i.e. cotton; * The absolute ownership and title to goods is vested with the producers i.e. agriculturists, till it is delivered to the merchants; * The said agricultural produce i.e., Cotton is usually brought to the society by the agriculturist to effect sale through auction; According to the societies by law definition 14 (2) every member of the society shall be entitled to the services available to the member of the society and such service shall be rendered to him by the society; * The society only plays the role of an auctioneer on commission basis and function on the lines of middlemen, not liable to collect or pay tax. The society do not issue any Tax Invoice, contemplated under the CGST ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... empted at their hands as per the central and state notifications. They have claimed that they act as a pure agent as per Rule 33 of CGST Rules 2017. The applicant has also referred to the TamilNadu Government letter No.21542/CM1/99-3, Co-operation, Food and Consumer Protection Department dated 15.09.1999, The Principal Commissioner and Commissioner of Commercial Taxes in Letter No.D/Dis.Acts.cell III/73893/99 dated 16.08.2000, wherein it is clarified that Co-operative marketing societies do not come within the meaning of the term "dealer" under Section 2(g) of TNGST act 1959. They have also referred /relied on ratio of decisions in the following case laws to substantiate their contention. * T.C. case Nos 102 to 104 of 1974 against orders ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 04.11.2019 has furnished their comments in detail on the issues raised by the applicant and has concluded that while the definition of agent includes commission agent, auctioneer among other things, the exemption in the notification has been provided only for commission agents and not auctioneers or agents in general; thus the society is neither an agent nor an APMC and may be classified as providing "Auctioneering Services" under SAC 9961. 3.4 The Central Jurisdictional Authority vide their letter dated 07.12.2019 submitted that the applicant receives raw cotton from agriculturalist and they are registered under GST, hence as per Notification No.04/2017 CT(rate) dated 28.06.2017 as amended they are liable for payment of GST under Reverse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed from the authorized signatories of the above societies under Section 70 of CGST Act 2017 on 07.09.2019. 4.3 Since, the details specified in the above letter didn't evince the detailed particulars of investigation, a letter dated 28.01.2020 was addressed to the Commissioner, Salem Commissionerate requesting to clarify whether the investigations undertaken by them are on the issues raised in the ARA application. In response to the above, the Central Jurisdictional authority vide letter C.No.IV/06/95/2019-HPU dated 27.02.2020 submitted that investigation is being undertaken by them on the following issues mentioned by the applicant in their ARA application: 1. Purchase/Sale involved in the process of auction of agricultural produce (cott ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d that the application is filed on 01.10.2019 i.e. when the proceedings initiated under the provisions of the GST Act are pending. 5.3 Section 98(2) of the GST ACT 2017, states as follows: (2) The Authority may, after examining, the application and the records called for and after hearing the applicant or his authorised representative and the concerned officer or his authorised representative, by order, either admit or reject the application: Provided that the Authority shall not admit the application where the question raised in the application is already pending or decided in any proceedings in the case of an applicant under any of the provisions of this Act: Provided further that no application shall be rejected under this sub-sec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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