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Showing contexts for: fly ash in M/S Shree Mahalaxmi Cement Products ... vs State Of Gujarat on 25 September, 2024Matching Fragments
Fly Ash Bricks are made of waste materials which come from the combustion of coal in thermal power plants. Clay bricks are made of clay which is collected from fertile land or the topsoil. This is the prime reason that makes Fly Ash Bricks more preferable than Clay bricks.
3.6 After the introduction of the Goods and Service Act, 2016 the product of Fly Ash Bricks and Fly Ash Blocks were classified under Notification No. 1/2017 (CGST-Rate) dated 28.06.2017 at Sr. No. 177 for the period from 01.07.2017 to 14.11.2017 for GST Rate of 12%. Thereafter, by amendment dated 14.11.2017 by Notification No. 41/2018 the Entry No. NEUTRAL CITATION C/SCA/7987/2021 JUDGMENT DATED: 25/09/2024 undefined 177 was amended by omitting "Fly Ash Bricks" from the said entry and new Entry No. 225A was inserted for Fly Ash Bricks specified thereby and GST Rate of 5% was prescribed. The petitioner filed application for advance ruling on 22.01.2019 seeking ruling on the correct rate of tax for Fly Ash Bricks and Fly Ash Blocks manufactured by the petitioner.
7.1. Representations have been received seeking clarification regarding the applicable rate on the fly ash bricks and fly ash aggregates.
7.2. Hitherto, as per entry at S. No. 176B of the Schedule II the items of description "Fly ash bricks or fly ash aggregate with 90 per cent. or more fly ash content; Fly ash blocks" attracts a GST rate of 12%. Confusion has arisen about the applicability of 90 per cent. condition on fly ash aggregates and fly ash bricks. As per the recommendations of the GST Council in the 23rd Meeting, the condition of 90% or more fly ash content was applicable only for fly ash aggregate.
7.3. Therefore, it is clarified that the condition of 90 per cent. or more fly ash content applied only to Fly Ash Aggregates and not to fly ash bricks and fly ash blocks. Further, with effect from 18th July, 2022 the condition is omitted from the description."
7. In view of above, the findings arrived by the Advance Ruling Authority would not be applicable in the facts of the case inasmuch as the Entry No. 176 of Schedule-II with description of goods as Fly Ash Bricks or Fly Ash Aggregate with 90% or more fly ash content and if Fly Ash Blocks attracts GST rate of 12% and therefore the confusion has arisen about the applicability of 90% condition of Fly Ash Aggregates and Fly Ash Bricks. The circular has clarified that as per recommendation of the GST Council in 23rd meeting the condition of 90% or more fly ash content was applicable only for Fly Ash Aggregate and accordingly it was clarified that 90% NEUTRAL CITATION C/SCA/7987/2021 JUDGMENT DATED: 25/09/2024 undefined or more fly ash content applied only to Fly Ash Aggregate and not to Fly Ash Bricks and Fly Ash Blocks and w.e.f. 18.07.2022 the condition is omitted from the description.
8. Hence, in view of above clarification, as per the Notification No. 04/2018-Central Tax (Rate) dated 31.12.2018 Entry No. 225B refers to applicability of levy of GST rate of 5% on Fly Ash Bricks and all Fly Ash Aggregate with 90% or more fly ash content or Fly Ash Blocks as per the clarification fly ash aggregate at 90% or more fly ash content would not be applicable Fly Ash Bricks or Fly Ash Blocks and accordingly the rate of GST applicable to the products manufactured by petitioner would be 5% as per the Entry No. 225B.