Page 18 - GSTL_14th May 2020_Vol 36_Part 2

xvi GST LAW TIMES [ Vol. 36
VALUATION (GST) :
— Inclusions - Value of Construction services and other charges not
includible in value of service for transmission of electricity -
Transmission of Electricity services by Government company exempted
under Serial No. 25 of Notification No. 12/2017-C.T. (Rate) and
corresponding State Notification - Cost of construction/erection of
bays/sub-stations, overhead lines and underground cables and other
charges including pro rata charges, supervision charges, proportionate
line charges, registration fees and operation and maintenance charges,
recovered by service provider from consumers - Though said cost borne
by and recovered from consumer, bays/sub-stations, overhead lines, etc.
so constructed/erected vest in the assessee and are its property/assets in
terms of Gujarat Electricity Regulatory Commission (Terms and
Conditions of Intra-State Open Access) Regulations, 2011 - Serial No. 25
ibid entry provides exemption from GST only to service of “transmission
and distribution by an electricity transmission or distribution utility” and
to the services provided by way of construction, erection, commissioning,
or installation of infrastructure for extending electricity distribution
network up to premises of consumers - Exemption under Serial No. 10A
of Notification No. 14/2018-C.T. (Rate) available only to construction,
erection, commissioning, or installation of infrastructure for extending
electricity distribution network up to the tube well of farmer or
agriculturalist for agricultural use - Said construction/erection of
“Bays/Sub-Stations, Overhead Lines, Underground cables, etc. or part
thereof” are optional services and one may or may not choose to avail
these additional services - Each service unique, different, not inter
dependent on each other and optional - Construction services to be
provided prior to the supply of ‘Transmission of electricity” and not
naturally bundled and supplied in conjunction with each other in the
ordinary course of business - It cannot be construed that same is in
conjunction with supply of “Transmission of electricity” and “composite
supply” - Both services to be charged separately - Value of “Construction
Services” and other charges cannot form part of value of service of
“Transmission of Electricity” - Sections 2(30) and 15 of Central Goods and
Services Tax Act, 2017 — In Re : Gujarat Energy Transmission Corpn. Ltd. (A.A.R. -
GST - Guj.) ....................................... 265
Vires of C.B.I. & C. Circular No. 354/292/2018-TRU, dated 9-8-2018 - See
under MILK, RAW MILK .............................. 211

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GST LAW TIMES  14th May 2020  18