Feb
The Telangana AAR in the ruling No. TSAAR Order No.06/2024has ruled that there is no GST is applicable/payable on the supply of “dal” to the Department for Women, Children, Disabled, and Senior Citizens because the purchase is made for use by that institution and not for commercial or trade purposes as the supplies made by the applicant will be exempt from CGST and SGST if made to the institutional consumer.
Brief facts on the ruling are that the applicant has been engaged in the trading of food grains, sugars, edible oils, etc., and is a government contractor for the supply of the items directly and through nodal agencies. The applicant submitted that they are making supplies to HACA to serve the farming community of the erstwhile State of Hyderabad. Subsequently, the society thus comes under the Multi-State Co-operative Societies Act. Noting this issue, the applicant sought to go before an advance ruling.