The applicant is liable to pay the GST on ocean freight paid, under the reverse charge mechanism. The very same matter is pending consideration of the Hon'ble Supreme Court, it would be inappropriate for this Court to pass any order in the instant case.
Appellate Authority for Advance Ruling - The Appellant has submitted an application dated 06.02.2020, before the Authority for Advance Ruling Uttar Pradesh and sought Advance Ruling as follows : - i. When GST has been paid on the freight in the case of indigenous supplies, whether the supplier is required to pay again GST on the freight under RCM. ii. When the GST has been paid on the ocean freight in the case of imports on the CIF value and the value of the ocean freight is included in the value of the imported goods, whether any further GST liability is there under RCM. The Authority of Advance Ruling, Uttar Pradesh ruled that: i. In term of Notification No. 13/2017-Central Tax (Rate) dated 28.06.2017 (as amended) the applicant is liable to pay GST under reverse charge mechanism, on the freight paid. ii. The applicant is liable to pay IGST on transportation of goods by vessels under Reverse Charge Mechanism (RCM) under Notification No. 10/2017-Integrated Tax (Rate) dated 28.06.2017, as amended. Aggrieved with the said ruling, the Appellant filed this appeal application. Held that- i. As regard to the question when the GST has been paid on the freight in the case of indigenous supplies, whether the supplier is required to pay again GST on the freight under RCM, Appellate Authority is of the opinion that the ruling given by the Advance Ruling Authority, Uttar Pradesh is just and proper and needs no interference. ii. The other question is directed against the order of Advance Ruling authority. The question involved in the impugned order is “when the GST has been paid on the ocean freight in the case of imports on the CIF value and the value of the ocean freight is included in the value of the imported goods, whether any further GST liability is there under RCM”. In this regard it has been informed that the aforesaid levy is the subject matter of an appeal before the Hon'ble Supreme Court in SLP (C) Nos. 16012/2020 and 15995/2020 and the Hon'ble Apex Court has, vide order dated 06.01.2021, issued notices in the matter. In view of the fact that the very same matter is pending consideration of the Hon'ble Supreme Court, it would be inappropriate for this Court to pass any order in the instant case.
The applicant is liable to pay the GST on ocean freight paid, under the reverse charge mechanism. The very same matter is pending consideration of the Hon'ble Supreme Court, it would be inappropriate for this Court to pass any order in the instant case.
Appellate Authority for Advance Ruling - The Appellant has submitted an application dated 06.02.2020, before the Authority for Advance Ruling Uttar Pradesh and sought Advance Ruling as follows : - i. When GST has been paid on the freight in the case of indigenous supplies, whether the supplier is required to pay again GST on the freight under RCM. ii. When the GST has been paid on the ocean freight in the case of imports on the CIF value and the value of the ocean freight is included in the value of the imported goods, whether any further GST liability is there under RCM. The Authority of Advance Ruling, Uttar Pradesh ruled that: i. In term of Notification No. 13/2017-Central Tax (Rate) dated 28.06.2017 (as amended) the applicant is liable to pay GST under reverse charge mechanism, on the freight paid. ii. The applicant is liable to pay IGST on transportation of goods by vessels under Reverse Charge Mechanism (RCM) under Notification No. 10/2017-Integrated Tax (Rate) dated 28.06.2017, as amended. Aggrieved with the said ruling, the Appellant filed this appeal application. Held that- i. As regard to the question when the GST has been paid on the freight in the case of indigenous supplies, whether the supplier is required to pay again GST on the freight under RCM, Appellate Authority is of the opinion that the ruling given by the Advance Ruling Authority, Uttar Pradesh is just and proper and needs no interference. ii. The other question is directed against the order of Advance Ruling authority. The question involved in the impugned order is “when the GST has been paid on the ocean freight in the case of imports on the CIF value and the value of the ocean freight is included in the value of the imported goods, whether any further GST liability is there under RCM”. In this regard it has been informed that the aforesaid levy is the subject matter of an appeal before the Hon'ble Supreme Court in SLP (C) Nos. 16012/2020 and 15995/2020 and the Hon'ble Apex Court has, vide order dated 06.01.2021, issued notices in the matter. In view of the fact that the very same matter is pending consideration of the Hon'ble Supreme Court, it would be inappropriate for this Court to pass any order in the instant case.