Classification of Supply—The applicant raised the following questions for advance ruling -
(i) Whether activity of printing of question papers on behalf of educational institutions can be classified as activity of supply of goods or supply of services.
(ii) If it is supply of services, referring to Sr. No. 27 of Notification 11/2017-CTR dtd : 28.06.2017 as amended by Notification 31/2017-CTR dtd.: 13.10.2017, then benefit of Sr. No. 66 of Notification 12/2017-CTR dtd.. 28.06.2017 is allowable, as amended by Notification No. 2/2017-CTR of 25.01.2018; or
(iii) If it is supply of goods, then question paper printing should be treated as exempted goods at Sr. No. 1 19 of exempted list liable at Nil rate of tax under Chapter heading / subheading of 4901 10 10 of “Printed books including Braille books”, or
It should be covered by Schedule I at Sr. No. 201 liable to tax at 2.5% under “Brochures, leaflets and similar printed matter, whether or not in single sheets”.
Held that :-
(i) The activity of printing of question papers by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) is activity of supply of service classifiable under heading 9989 of the scheme of classification of services.
(ii) The service provided by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) to educational institutions by way of printing of question papers for conduct of examination by such institutions would be covered by Sr. No. 66 of Notification No. 12/2012-Central Tax (Rate), as amended and Notification No. 12/2012-State Tax (Rate), as amended.
The service provided by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) to service recipients other than educational institutions by way of printing of question papers would be covered by Sr.No. 27(i) of Notification No: 11/20.17-Central Tax (Rate), as-amended, and Notification No. 11/2017-State Tax (Rate), as amended.
(iii) As the activity of printing of question papers by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) is held to be activity of supply of service, the question of appropriate classification as ‘goods’ and applicable rate on such ‘goods’ does not arise.[2018] 3 TAXLOK.COM 50 (AAR-Gujarat)