Page 147 - GSTL_6th August 2020_Vol 39_Part 1

2020 ] IN RE : POSCO INDIA STEEL DISTRIBUTION CENTRE PVT. LTD. 73
- 18% (Entry 11(ii) of the Notification 11/2017-C.T. (Rate), dat-
ed 28 June, 2017);
Or any other
(3) Whether the Applicant would be eligible to avail the input tax credit
of the 12% GST charged by the third-party transporters?
(4) Whether the transporter would be right in charging GST @ 12% un-
der forward charge mechanism to Applicant in terms of Notification
No. 20/2017-Central Tax (Rate), dated 22 August, 2017 when Appli-
cant as the main contractor, is already charging GST @ 12% under
the same Notification, which is going to remain unchanged?
(5) Procedurally, is it correct to have two GTA Service Providers and
two consignment notes for the same movement of goods, one issued
by the Applicant as main contractor and the other by transporters
sub-contractor?
At the outset, we would like to make it clear that the provisions of both the CGST
Act and the MGST Act are the same except for certain provisions. Therefore, un-
less a mention is specifically made to any dissimilar provisions, a reference to the
CGST Act would also mean a reference to the same provision under the MGST
Act. Further to the earlier, henceforth for the purposes of this Advance Ruling, a
reference to “GST Act” would means CGST Act/MGST Act.
2. Facts and contention - As per the applicant
The submissions of the applicant made vide letter dated 30-5-2019 is as under :-
2.1 Applicant, engaged in providing logistic consultancy services and
logistics management services have entered into a rate contract agreement with
POSCO MAH Pvt. Ltd., Mangaon MIDC, Dist. Raigad and its entity group com-
panies, to provide supply of services in relation to transportation of goods by
road i.e. steel coils in bulk by road.
2.2 In term of the services classified under Heading No. 9965 and ex-
planation to Entry No 9(iii) of Notification No. 20/2017-C.T. (R), dated 22-8-2017,
applicant has submitted that they qualify as Goods Transport Agency (GTA) &
accordingly are discharging the GST at the rate of 12% (6% CGST + 6% SGST)
under forward charge basis and are also availing ITC. The applicant also uses
vehicles of third party fleet operators, who are not charging GST in their Tax In-
voices raised to applicant in the said supply of fleet/vehicles, as per the provi-
sions of Entry No. 18 of the Notification No. 12/2017-C.T. (R), dated 28-6-2017
read with Section 11(1) of CGST Act, 2017. The third party fleet operators want to
issue consignment notes for the goods for which applicant company has already
issued Consignment Note, in order to qualify as GTA, so that they can avail a
benefit of input credit of GST paid by them.
2.3 Since applicant is paying tax @ 6% CGST AND 6% SGST under the
forward charge, provisions of Notification No. 13/2017-C.T. (R), dated 28-6-2017,
which prescribes that a recipient has to pay the taxes in the case of supply of ser-
vices in relation to the transportation of goods by the GTA, is not applicable in
the instant case.
2.4 The applicant made additional submission on 18-6-2019, wherein they
raised certain questions.
2.5 The applicant again requested that they be allowed to submit some
additional details in the application, even after the above submission was made.
GST LAW TIMES  6th August 2020  147