9911796707
TMI Blog2022 (7) TMI 601X X X X Extracts X X X X X X X X Extracts X X X X ..... d in design, engineering, fabrication and supply of Pneumatic Coveying System (PCS). PCS is used for transportation of material through pipes from one location to another using air/gas pressure for moving the goods. PCS is inter alia constituted of various equipments such as Air Compressors, Rotary Valves, Pipes, Filers and Heat Exchangers. (2) The applicant executes contracts regarding design, engineering, fabrication and supply of Pneumatic Coveying System (PCS) and its parts and components. (3) Depending upon customers requirement, some of the components are manufactured by applicant or sourced from other domestic sources and then supplied to customers while some components are imported from outside India. (4) The applicant supplies t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (3). two new entries were inserted under the schedule III vide Central Goods and Service Tax (Amendment) Act, 2018 as under- 8 (a)............... (b) Supply of goods by the consignee to any other person, by endorsement of documents of title to the goods, after the goods have dispatched from the port of origin located outside India but before clearance for home consumption. (4). Clause (b) of Entry 8, deals with the transaction pertaining to HSS. Hence, imported components sold by the applicant to customers on HSS basis while such components are on high seas would not be considered as a supply of goods or services and accordingly will be outside the purview of GST. 6. The application for advance ruling was forwarded ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the UPGST Act. Further for the purposes of this Advance Ruling, a reference to such a similar provision under the CGST Act / UPGST Act would be mentioned as being under the `CGST Act'. 9. We find that the applicant has sought advance ruling on following questions- Whether supply of components of Pneumatic Conveying system by the applicant to its customers on High Sea Sales basis will be treated neither as supply of goods nor as supply of service by virtue of entry 8 to Schedule III of CGST Act. 10. First, we proceed to examine as to whether the said question falls under the purview of Section 97(2) of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ers of the exporting country but before it enters the territorial waters of the importing country. The taxability on High Sea Sales requires the determination of occurrence of High Sea Sales. The definition of 'import of goods' as per Section 2(10) of the Integrated Goods and Services Tax Act, 2017 (hereinafter referred to as the IGST Act, 2017) is as follows- 2 (10) "import of goods" with its grammatical variations and cognate expressions, means bringing goods into India from a place outside India. 13. As such, the import as well as High Sea Sales is determined on the basis of 'place of supply'. The 'place of supply' is not covered by Section 97(2) of the CGST Act, 2017 at all. So, the ruling on matters con ..... X X X X Extracts X X X X X X X X Extracts X X X X
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