Page 171 - GSTL_23rd July 2020_Vol 38_Part 4

2020 ] IN RE : ORDNANCE FACTORY, BHANDARA 537
(4) Whether exemption on payment of GST on transport of ‘military or
defence equipment through a goods transport agency applicable to
goods transported by our organisation?
(5) Whether Input Tax Credit is to be reversed on finished goods that
are destroyed during testing?
(6) Whether proportionate Input Tax Credit has to be reversed in eases
where lesser payment is made to the supplier due to deduction on
account of liquidated damages from supplier’s dues?
(7) Being a part of the Ministry of Defence, Government of India,
whether the following notifications are applicable to our organisa-
tion and what shall be the impact of such notifications :-
(a) Notification No. 2/2018-Central Tax (Rate), in relation to
services by an arbitrator or an advocate to our organisa-
tion.
(b) Notification No. 3/2018-Central Tax (Rate), in relation to
services supplied by our organisation by way of renting of
immovable property to a person registered under the Cen-
tral Goods and Services Tax Act, 2017.
(c) Notification No. 36/2017-Central Tax (Rate), in relation
to payment of tax on reverse charge mechanism on sale of
used vehicles, seized and confiscated goods, old and used
goods, waste and scrap to a GST registered person.
(8) Whether Input Tax Credit on services of passenger vehicles hired by
our organisation is available?
Advance Ruling dated 24-12-2018 passed by AAR, Maharashtra
(K) The AAR passed the Advance Ruling No. GST-ARA-79/2018-19/
B-168, dated 24-12-2018 in respect of the seven questions enumerat-
ed above, except the question No. 8, which was withdrawn by the
Appellant later on from their advance ruling application itself.
(L) Aggrieved by the above rulings passed by the AAR, the appellant
has preferred appeal in respect of questions 1, 2, 6 & 7 only on the
basis of the grounds mentioned hereinunder :
1. to 37. * * * * * *
[See text of paras 1 to 37 of this order in GST Council website.]
Personal Hearing
38. A personal Hearing in the matter was conducted on 14-10-2019,
which was attended by Shri Sagar Sahajwani, C.A., on behalf of the Appellant,
wherein he reiterated the written submissions, and relied upon various legal
provisions and judicial pronouncement in support of their contentions. In the
aforesaid hearing, the Department was represented by Shri Hrishikesh Deep,
Asst. Commissioner, who also reiterated the written submissions, filed before us.
Discussions and Findings
39. We have gone through the facts of the case, documents placed on
record, and the entire submissions made by both the appellant as well as jurisdic-
tional officer. We have also perused the ruling pronounced by the Advance Rul-
ing Authority, wherein the AAR inter alia observed that the Appellant cannot be
construed as Central Government on the ground that the same had not been cre-
GST LAW TIMES  23rd July 2020  171