GST CASE DIGIEST
Q.
Where Applicant, a Cargo Handling company, rent storage premises to its
customer, such activity carried out by it would be classified as “Rental or
Leasing services involving own or leased non-residential property’ liable to
GST
This is article of the series of editorials written by the ADV ACS Jeetam Kumar Saini on Corporate Laws(He also Written many articles Including Companies Act, 2013, SEBI, RBI Regulations, IBC)advocatejeetamsaini@gmail.com - 9785949998
Case
Rishi
Shipping, In re[2018] 147 (AAR- Guj)
Held
that there is difference between ‘Storage or warehousing’ services and ‘renting
of storage premises’. ‘Storage or warehousing’ normally makes arrangement for
space to keep the goods, loading, unloading, make security arrangement and
provide insurance cover etc. In case where person only rents the storage
premises, he does not provide other services .Mere renting space cannot be said
to be in nature of service provide for storage or warehousing of goods and as
per nature of service provided by the applicant , as described in the
application, it is clear that applicant only rent the storage premises
.Therefore , the applicant is required to pay Goods and Service Tax at 18%(CGST
9% + GGST 9% or IGST 18%) Service Accounting Code -997212)
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