Page 184 - GSTL_18th June 2020_Vol 37_Part 3

398 GST LAW TIMES [ Vol. 37
supply of such motor vehicles” by adding certain accessories - Tax paid on
two-wheelers and retrofit equipment available to assessee as input tax credit -
Section 17(5) of Central Goods and Services Tax Act, 2017. [paras 7.7, 9]
Ruling partly in favour of assessee
REPRESENTED BY : Shri Harish S., Chartered Accountant & Duly
Authorised Representative, for the Assessee.
[Order]. - M/s. Sai Motors, # 215, 100 Feet Ring Road, 3rd Stage, 3rd
Phase, 2nd Block, Banashankari, Bengaluru-560085, having a GSTIN
29AASFS7259M1ZO, have filed an application for Advance Ruling under Section
97 of CGST Act, 2017 & KGST Act, 2017 read with Rule 104 of CGST Rules, 2017
& KGST Rules, 2017, in Form GST ARA-01 discharging the fee of Rs. 5,000/- each
under the CGST Act and the KGST Act.
2. The applicant is a proprietary concern registered under the provi-
sions of the Goods and Services [Tax] Act, 2017. The applicant states that he is
engaged in the business of supplying two wheelers.
3. The applicant has sought advance ruling in respect of the following
questions :
Whether he can bill the scooter at 5% GST under HSN 8713 along with
retrofitment and it shall not restrict any input tax credit on purchase of
vehicle under HSN 8711 at 28% GST
4. The applicant furnishes some facts relevant to the stated activity.
(a) The applicant states that he purchases vehicles from M/s. Hero Mo-
tocorp Ltd., under HSN 8711 20 19 which is liable to GST at 28%. He
also purchases retro fitment fitting, under HSN 8713 10 90 at GST
5%. This retro fitment fitting is fixed to the vehicles purchased and
sold to the differently abled customers.
(b) The applicant states that he is presently collecting GST from the cus-
tomers of Retrofitted vehicles at two rates - Vehicles at 28% and Ret-
ro Fitment Fitting at 5%.
(c) The applicant states that other dealers in the market are selling such
vehicles i.e. after fitting retrofitment at GST 5% on the entire sale
value including vehicles under HSN 8713 10 90. Hence some of his
differently abled customers were demanding him to charge GST on
entire sale value of the vehicles (after retrofitment) at 5% under
HSN 8713 10 90. Hence, the applicant has sought to know whether
he can bill the entire value of the vehicle after retrofitment, pur-
chased by differently abled customers at 5% under HSN 8713 10 90.
(d) The applicant states that if he is allowed to sell the vehicles at 5%,
whether he can claim ITC on the entire 28% paid for purchase of
vehicles even though on sale he will be allowed to charge 5% on the
output.
5. The applicant states that the goods sold by him i.e. retrofitted two
wheelers are to be classified under Serial Number 243 under HSN 8713 - Carriage
for disabled persons, whether or not motorized or otherwise mechanically pro-
pelled and is liable to tax at 5%. He states that the Cars for physically handi-
capped persons under HSN 8703 are given special treatment subject to condi-
tions and the two wheelers require more facility for specially abled compared to
Motor Car.
GST LAW TIMES  18th June 2020  184