Services by way of transportation of ‘Eggs’ by rail from one place in India to another place is exempted: AAR

Case Details: Authority for Advance Rulings, Karnataka SAS Cargo, In re - [2022] 134 taxmann.com 64 (AAR - KARNATAKA)

Judiciary and Counsel Details

• • Dr. M.P. Ravi Prasad and T. Kiran Reddy, Member
  • Nagaraj M.R., CA for the Applicant.

Facts of the Case

The applicant was a partnership firm and involved in transportation of egg by rail from one place to another place. It filed an application for advance ruling to determine applicability of GST on Transportation Services by Rail on Eggs/hatcheries under GST Act.

AAR Held

The Authority for Advance Ruling observed that applicant was engaged in the business of providing freight services and it was holding lease rights of space/containers in Indian railways. As per Serial No. 20 of Notification No. 12/2017 Central Tax (Rate), dated 28th June, 2017, services by way of transportation by rail or a vessel from one place in India to another of the agricultural produce would be exempted. In the instant case, the applicant was transporting Eggs and Eggs on which no further processing would be done shall be covered under the definition of ‘Agricultural Produce’ as per clause 2(d) of Notification No. 12/2017-Central Tax (Rate), dated 28th June, 2017. Thus, it was held that services by way of transportation of ‘Eggs’ by rail from one place in India to another place would be exempted.