The supply of electricity through grid and supply of utilities are separate supplies. The supply of electricity through grid is exempt from GST
Classification of service— The applicant is a software company engaged in the supply of Information Technology Enabled Services (ITES).
The queries, on which Advance Ruling is sought, are as follows:
(a) Whether the supply of electricity is a supply of goods or services?
(b) Whether the supply of electricity and supply of utilities/ leasing are separate supplies or composite supplies?
(c) If supply of electricity and supply of utilities/ leasing are separate supplies, what is the classification of supply of electricity for the purpose of payment of GST?
(d) Whether the Applicant is eligible to take credit of input tax charged on such supply of renting services and electricity, if any?
Held that—
(a) The supply of electricity, to the extent it is grid supplied, is goods
(b) The supply of electricity through grid and supply of utilities are separate supplies.
(c) The supply of electricity through grid is classified under Entry No. Entry No. 104 Notification No. 2/2017-Central Tax (rate), dated 28th June, 2017, Tariff Code-27160000.
(d) The applicant is eligible to take Input Tax Credit on supply of renting services. Input Tax Credit in case of electricity supply shall be restricted to the supply made through DG sets.
The supply of electricity through grid and supply of utilities are separate supplies. The supply of electricity through grid is exempt from GST
Classification of service— The applicant is a software company engaged in the supply of Information Technology Enabled Services (ITES).
The queries, on which Advance Ruling is sought, are as follows:
(a) Whether the supply of electricity is a supply of goods or services?
(b) Whether the supply of electricity and supply of utilities/ leasing are separate supplies or composite supplies?
(c) If supply of electricity and supply of utilities/ leasing are separate supplies, what is the classification of supply of electricity for the purpose of payment of GST?
(d) Whether the Applicant is eligible to take credit of input tax charged on such supply of renting services and electricity, if any?
Held that—
(a) The supply of electricity, to the extent it is grid supplied, is goods
(b) The supply of electricity through grid and supply of utilities are separate supplies.
(c) The supply of electricity through grid is classified under Entry No. Entry No. 104 Notification No. 2/2017-Central Tax (rate), dated 28th June, 2017, Tariff Code-27160000.
(d) The applicant is eligible to take Input Tax Credit on supply of renting services. Input Tax Credit in case of electricity supply shall be restricted to the supply made through DG sets.