Page 102 - GSTL_27th August 2020_Vol 39_Part 4

428 GST LAW TIMES [ Vol. 39
The said entry of Notification No. 11/2017-Central Tax (Rate) is not ap-
plicable to supply and installation of furniture by the applicant.
5.20 As per the view point and interpretation of law and facts of the
case, the supply, installation and fixing of furniture, either customized or not
customized, is not composite supply of works contract by way of construction
etc. of civil structure or other original works to the Government and therefore, is
not chargeable to concessional rate of 12% as per the Notification No. 11/2017,
dated 28-6-2017.
5.21 As per the view point and interpretation of law and facts of the
applicant, the supply, installation and fixing of customized furniture is compo-
site supply of goods where the supply of furniture is principal supply and is
chargeable to tax @ 18% under HSN 9954.
6. Discussions and findings :
6.1 We have carefully considered the submissions made by the appli-
cant in the application and during the time of personal hearing.
6.2 We find that the question before us essentially pertains to whether
any particular thing done by the applicant with respect to any goods or services
or both amounts to or results in a supply of goods or services or both, within the
meaning of that term. We, therefore, observe that the issue before us is squarely
covered under Section 97(2)(g) and therefore we admit the application for con-
sideration.
6.3 The applicant dealing in wide range of office furniture and automa-
tion products is registered under the GST Act, 2017. The applicant is carrying on
the business as manufacturer, marketers, exporters, importers and distributors in
all kinds of office equipment. The goods dealt by the applicant are classifiable
under Chapter 94 of the First Schedule to Customs Tariff Act, 1975, which has
been adopted in the GST regime as GST Tariff.
6.4 Section 2(119) of CGST Act provides “works contract” means a con-
tract for building, construction, fabrication, completion, erection, installation,
fitting out, improvement modification, repair, maintenance, renovation, altera-
tion or commissioning of any immovable property wherein transfer of property
in goods (whether as goods or in some other form) is involved in the execution of
such contract.
6.5 As per Annexure - Scheme of Classification of services to Notifica-
tion No. 11/2017-Central Tax (Rate), dated 28-6-2017, works contract services has
been classified as “construction services” under Heading 9954, which includes
the following groups :-

Group Service description
99541 Construction services of buildings
99542 General construction services of civil engineering works
99543 Site preparation services
99544 Assembly and erection of prefabricated construction
99545 Special trade construction services
99546 Installation services
99547 Building completion and finishing services

6.6 The claim as made by the CPA, Bhopal, which is a Department of
GST LAW TIMES  27th August 2020  102