Classification of supply— The applicant, seeking an advance ruling in respect of the following question.

What is the meaning of “Per Unit” as specified under Chapter Section or Heading-9963 under entry no. 7 of the Notification No.11/2017-Central Tax (Rate) dated 28 June 2017?

We find that the applicant is proposing to give out entire Luxurious Villas, consisting of multiple rooms, on rent to various customers in the State of Maharashtra. The question is whether, as per Notification No.11/2017-Central Tax (Rate) dated 28 June 2017, as amended, the entire Villa will be treated as ‘per unit’ or the individual rooms inside the Villas will be treated as per unit’.

Held that— In the present case the applicant, themselves have mentioned that, rent is proposed to be offered to clients on per day basis for entire villa. The two different clients will not be able to book the same villa and there will be no option of booking particular room of the villa. Interested clients need to book the entire villa. Thus, it is crystal clear that villa per say is ‘indivisible unit’ in applicant’s business parlance, and the declared tariff is only for the villa as a whole.

Hence, the expression per unit in the present case will be the entire villa.—Isprava Hospitality Private Limited, In Re.. [2020] 22 TAXLOK.COM 141 (AAR-Maharashtra)