TMI Blog2021 (1) TMI 1255X X X X Extracts X X X X X X X X Extracts X X X X ..... en passed by the higher forum than the present one; therefore, the same are not being considered. Appeal disposed off. - RAJ/AAAR/05/2021-22 - - - Dated:- 17-1-2021 - SH. SATISH KUMAR AGRAWAL, AND SH. RAVI JAIN, MEMBER Present for the appellant: Sh. Akash Phophalia, CA and Authorised Representative. (Proceedings under section 101 of the Central GST Act, 2017 read with section 101 of the Rajasthan GST Act, 2017) At the outset, we would like to make it clear that the provisions of both the Central GST Act, 2017 and the Rajasthan GST Act, 2017 are same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the Central GST Act, 2017 would also mean a reference to the same provisions under Rajasthan GST Act, 2017. 2. The present appeal has been filed under Section 100 of the Central GST Act, 2017 (hereinafter also referred to as the CGST Act ) read with Section 100 of the Rajasthan GST Act, 2017 ( hereinafter also referred to as the RGST Act ) by M/s Harish Chand Modi, Sardarpura, Jodhpur ( hereinafter also referred to as `the appellant ) against the Advance Ruling No. RAJ/AAR/2021-22/19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... JVVNL Electricity charges As per actuals Clause 8 (g) of the rent agreement GST, if chargeable, shall be payable extra DG Electricity charges ₹ 10,000/- per month as fixed charges and ₹ 18/- per unit of electricity consumed. Clause 8 (h) of the rent agreement GST, if chargeable, shall be payable extra 3.2 It has been mentioned by the appellant that (a) A transformer is installed at the said premises to convert HT (High Transmission) to LT (Low transmission). (b) A private DG is also installed at the said premises. (c) LT Power and DG Power are then transmitted through power distribution panel. (d) Every tenant is having separate installed electricity sub-meters. (e) Transmission of electricity to each tenant is recorded through sub-meters installed at the respective tenant. The sub-meter keeps proper record of electricity consumption viz electricity consumption through DG set and electricity consumption through meter installed by JVVNL and charges recovered from the tenant on the basis of f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 17 Other Urban Cess 18 Other LED/Deferred Deposit 19 Adjusted Amount (Code) 20 Total Due Date Amount (Sum of 10 to 19) 58,735.98 21 Arrear Amount 22 Deferred Amount (Active Month) 23 State Gov. Bearer Amount (i) Tariff Subsidy (ii) HailStorm/Other Subsidy 24 Total Amount Before Due Date(SNO 20+21-22-23) 58,736.00 25 LPS 1,121,52 26 Total Amount After Due Date(Sum of 24 and 25) 59,858.00 Total Units Consumed (KWH) 4,092.00 Unit Cost per KWH (Calculated) (Rs) 14.63 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... spect of the supply of goods or services or both . Had a similar clause been incorporated in the agreement regarding electricity charges the same would have been includible. However, there is no such clause regarding electricity charges. Thus, the tone and tenor of the agreement clearly demonstrates that the value for offering the space on rent has been fixed at Rs. 20,80,848/-. The agreement does not make any provision for the supplier to make any incidental expense or charge any other amount in respect of such supply of space on rent. Thus, the value for the purpose of renting of immovable property, in the instant case, would be the amount agreed upon for the act of renting of such property .. The interpretation taken in the parallel case is applicable in verbatim to our case as the facts are similar. In our case also no such words any amount charged for anything done by the supplier in respect of the supply of goods or services or both have been used with electricity charges and hence the learned members had grossly erred in ignoring such interpretation and holding that GST is payable on electricity charges, consequently the order passed was bad in law an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gnored by the learned members of authority for advance ruling Rajasthan and hence the decision passed was bad in law and on fact. Para 16 the applicant has not provided a separate electric meter to the lessee in the instant case and as such the lessee cannot make the payment of electric charges directly to the electric company. In such circumstances the applicant makes the payment to the electric company and in-turn collects such charges from the lessee. To make the system work, the applicant have installed sub-meters and they collect the charges of the electric power used by the lessee as per the usage of power ascertained from such sub-meter. Two aspects emerge from the above scheme of arrangement: - The applicant has not obtained separate meter from the electric company to facilitate the direct payment of electricity charges by the lessee to the electric company. - In absence of separate meter, the applicant has installed sub-meter and collects the charge of electric power used by the lessee from the lessee and in-turn pays the same to the electricity company. The facts are similar to our case but the learned members had ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder the category of pure agent or Not? 6.3 We find that provisions of Rule 33 of the CGST Rules, 2017 are related to pure agent, which are being reproduced here; 33. Value of supply of services in case of pure agent. - Notwithstanding anything contained in the provisions of this Chapter, the expenditure or costs incurred by a supplier as a pure agent of the recipient of supply shall be excluded from the value of supply, if all the following conditions are satisfied, namely, - (i) the supplier acts as a pure agent of the recipient of the supply, when he makes the payment to the third party on authorization by such recipient; (ii) the payment made by the pure agent on behalf of the recipient of supply has been separately indicated in the invoice issued by the pure agent to the recipient of service; and (iii) the supplies procured by the pure agent from the third party as a pure agent of the recipient of supply are in addition to the services he supplies on his own account. Explanation . - For the purposes of this rule, the expression pure agent means a person who - (a) enters into a contractual agreement with the recipient of supply to ac ..... 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