Page 132 - GSTL_ 28th May 2020_Vol 36_Part 4

578 GST LAW TIMES [ Vol. 36
tee did not agree with
the proposal keeping
in mind the domestic
fruit processing In-
dustry.
5. Fitment Committee
does not recommend
any reduction in pre-
sent GST rate.

GST Council has agreed to the above recommendation as can be seen from the
Minutes of the Meeting, the relevant para is given below :
34.31 From item Nos. 43 to 57 of Annexure-III, the Council had no objec-
tion and approved the recommendation of Fitment Committee. The
Hon’ble Minister from Uttar Pradesh raised the issue about item at Sl. No.
58 of Annexure-III i.e. Extra Neutral Alcohol (ENA). He stated.
The above decision of the GST Council also supports the classification ruled by
the Lower Authority.
11. In view of the above we, pass the following Order :
RULING
12. For reasons discussed above, we do not find any reason to interfere
with the Order of the Advance Ruling Authority in this matter. The subject ap-
peal is disposed of accordingly.

_______

2020 (36) G.S.T.L. 578 (A.A.R. - GST - Kar.)
BEFORE THE AUTHORITY FOR ADVANCE RULING UNDER GST,
KARNATAKA
Dr. Ravi Prasad M.P., Member (State Tax) and Shri Mashhood Ur Rehman
Farooqui, Member (Central Tax)

IN RE : BIOCON LTD. (DTA)
Advance Ruling No. KAR ADRG 31/2020, dated 4-5-2020
Micafungin sodium - Sale of goods by SEZ to its DTA unit - DTA unit
of assessee purchasing Micafungin sodium imported by its SEZ unit - Sale of
bulk drugs so purchased to third party customers, who in turn uses for prepa-
rations of injections - Assessee’s supply to customer was of bulk drugs being
raw material for manufacture of Micafungin sodium for injection - Supply not
to be termed as supply of “Micafungin sodium for injection” - Relevant entry
would have been ‘Micafungin Sodium’ had intention of Government been to
extend benefit of concessional rate to bulk drugs/raw material - Sale not cov-
ered by Serial No. 114 of List specified under Serial No. 180 of Notification No.
1/2017-C.T. (Rate) and not entitled for concessional rate of GST at rate of 5%
(2.5% CGST + 2.5% SGST). [paras 8.7, 8.8, 8.9, 10]
Ruling in favour of department

GST LAW TIMES  28th May 2020  132