Page 171 - GSTL_18th June 2020_Vol 37_Part 3

2020 ] IN RE : MAHALAKSHMI MAHILA SANGHA 385
Thailand supplier raise the tax invoice in the name of the applicant though the
die not physically imported by the applicant. Hence said transaction does not
amounts to import as per Section 2(10) of the IGST Act, 2017. However, after the
completion of the order or die life if applicant physically imports the Die from
the place outside India to a place in India then the applicant liable to pay the
IGST tax on reverse charge mechanism and claim the IGST tax paid as input tax
credit, if eligible. Further if the steel die belonging to the applicant is scrapped at
the location of the overseas supplier without die coming to India then such
transaction is a transaction occurring outside the taxable territory, i.e. India and
hence is not under the purview of GST.
22. In view of the foregoing, we rule as follows
RULING
(1) In the case of manufacture of Die by the applicant and invoiced to
the recipient, without moving the goods, the applicant has to raise
the tax invoice addressed to the foreign buyer. Since it is an intra-
State supply, he has to collect the CGST and SGST and discharge the
liability. The applicant is not eligible to claim said payment as input
tax credit on the invoice raised by him as he is not the recipient. Fur-
ther if the said steel die is scrapped at applicant’s end as per the in-
struction of the overseas customer without moving out of the coun-
try, while supplying the die scrap to the third party, the applicant
has to issue intra/inter-State tax invoice depending upon the nature
of the transaction and collect and pay the applicable tax as per the
provisions of the GST Acts.
(2) In the case of manufacture of Die by the Thailand supplier, if appli-
cant physically imports the Die to a place in India then applicant
has to pay the IGST on reverse charge mechanism and claim the
IGST tax paid as input tax credit, subject to conditions applicable.
Further if the steel die belonging to the applicant is scrapped at the
location of the overseas supplier without die coming to India, then
such transaction is occurring outside the taxable territory, i.e. India
and hence not under the purview of GST Acts.

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2020 (37) G.S.T.L. 385 (A.A.R. - GST - Kar.)
BEFORE THE AUTHORITY FOR ADVANCE RULING UNDER GST,
KARNATAKA
Dr. M.P. Ravi Prasad, Member (State Tax) and Shri Mashhood Ur Rehman
Farooqui, Member (Central Tax)
IN RE : MAHALAKSHMI MAHILA SANGHA

Advance Ruling No. KAR ADRG 36/2020, dated 21-5-2020
Catering services to educational institutions sponsored by
State/Central/Union Territory - TDS whether exempted - Applicant has to pre-
pare food in school premises and supply it to students of the school for a
GST LAW TIMES  18th June 2020  171