Page 106 - GSTL_26th March 2020_Vol 34_Part 4

616 GST LAW TIMES [ Vol. 34
• Flowers received between 10.30 am and 5.30 pm on a day are auc-
tioned on the next day. Flowers received between 7.30 am to 8.30
am on a day are auctioned on the same day.
• Flowers are purchased through bidding for which each buyer is
given a bidding mobile to use to bid for the flowers.
• Once the auction is completed, the flowers are sent immediately to
the distribution hall.
• The buyers should pay the amount in cash once they bid for the
flowers, then check the flowers in the distribution hall, pack their
produce purchased in the auction in the packing hall and take them
out of IFAB after showing the paid receipt to the security.
• Unsold flowers are sent back to the cold storage and reauctioned the
next day. If unsold even on the next day, they are sent back to the
growers with a delivery challan.
15. In the backdrop of the above activities, the question before us for
determination is whether the commission earned by IFAB from the auctioning of
flowers is exempted from GST in terms of the entry Sl. No. 54(g) of Notification
No. 12/2017-C.T. (R), dated 28-6-2017. For ease of reference, we reproduce the
relevant Entry 54 of Notification No. 12/2017-C.T. (R), dated 28-6-2019.

54 Heading Services relating to Cultivation of Plants and NIL NIL
9986 rearing of all Life Forms of Animals, except
the rearing of Horses, for Food, Fibre, Fuel,
Raw material or other similar products or
Agricultural produce by way of -
(a) agricultural operations directly related to
production of any agricultural produce in-
cluding cultivation, harvesting, threshing,
plant protection or testing;
(b) supply of farm labour;
(c) processes carried out at an agricultural
farm including tending, pruning, cutting,
harvesting, drying, cleaning, trimming, sun
drying, fumigating, curing, sorting, grading,
cooling or bulk packaging and such like oper-
ations which do not alter the essential charac-
teristics of agricultural produce but make it
only marketable for the primary market;
(d) renting or leasing of agro machinery or
vacant land with or without a structure inci-
dental to its use;
(e) loading, unloading, packing, storage or
warehousing of agricultural produce;
(f) agricultural extension services;
(g) services by any Agricultural Produce Mar-
keting Committee or Board or services provided by
a commission agent for sale or purchase of agricul-
tural produce

16. The entry at Sl. No. 54(g) refers to the services provided by any
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