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The applicant is making a composite supply other than supply of works contract or food and beverage. Therefore it is a naturally bundled supply where in the liability to pay tax on the entire consideration will be the liability relatable to the principal supply. In this case the principal supply is Electrical signalling equipment with HSN code ‘8530’ i.e., goods and as per Section 10 of IGST Act the place of supply of goods is the place where goods are delivered by the supplier i.e., the applicant. If the applicant is delivering goods to the recipient in other State that State will be the place of supply and the liability to pay tax will arise in such State where the delivery is made.

Nature of supply— In the instant casse, the applicant is executing a contract for South Central Railways for design, supply, installation, testing and commissioning of onboard train collision avoidance system (TCAS).

The applicant is desirous of ascertaining the liability to tax under GST law on the execution of this contract on various counts including place of supply.

Question raised for advance ruling are as follows—

1. (A) Whether the subject work falls under Works Contract?

(B) What is the applicable rate of GST for this contract?

2. Whether AMC services fall under the same category of principal supply i.e., setting up of TCAS since both are under one work order?

3. (A) If this contract is not to be considered as works contract then what should be the rate of GST for supply of goods under TCAS and supply of goods and services under AMC as the quantity and prices are provided in the work order separately?

(B) What is the rate of GST for services (erection and commissioning) under TCAS and AMC involving civil works as the prices for the same are provided in the work order separately.

4. Whether is there a requirement for separate registration in other states?

5. Whether CGST & SGST or IGST to be charged on the supply of goods like components, parts, spares etc., to SCR, Secunderabad, Telangana as a part of whole contract of supply, installation & commissioning in Maharashtra and Karnataka State?

6. What is the applicable rate of GST to sub-contractors and sub-suppliers of goods?

Held that— The subject work is a composite supply and not works contract under GST.

Being a composite supply, the rate applicable to principal supply is the rate applicable to the entire contract i.e., 9% CGST and also SGST.

The AMC contract is a separate contract from the original contract.

This contract is a composite contract and the rate of tax applicable to principal supply is the rate applicable to the entire contract i.e., 9% CGST and also SGST.

As the applicant makes supplies in other States and is liable to pay CGST & SGST in those states as he is required to take separate registration in other States.

The applicant is making a composite supply other than supply of works contract or food and beverage. Therefore it is a naturally bundled supply where in the liability to pay tax on the entire consideration will be the liability relatable to the principal supply. In this case the principal supply is Electrical signalling equipment with HSN code ‘8530’ i.e., goods and as per Section 10 of IGST Act the place of supply of goods is the place where goods are delivered by the supplier i.e., the applicant. If the applicant is delivering goods to the recipient in other State that State will be the place of supply and the liability to pay tax will arise in such State where the delivery is made.

The executing partner of Joint Venture will have the same liability as the Joint Venture firm which was allotted the contract by South Central Railways.