"ffi' t::!J-J BEFORE THE APPELLATE AUTHORITY FOR ADVANCE RULING for the State of Andhra Pradesh (Goods and Service Tax)

(Office at O/o Chief Commissioner of State Tax, Govt. of A, P., D NO 5-56, Block-8, R.K.Spring Valley Apartment, Bunder Road, Edupugallu, Vijayawada, Andhra Pradesh - 521151)

Present:

Sri Suresh Kishnani (Member) (Central Tax)

Sri S. Ravi Shankar Narayan (Member) (State Tax)

The 24'h day of )anuary, 2022 order /AAAR/AP/05 ssr / 2022 )

(Under Section 1O1 of the Central Goods and Service Tax Act and the Andhra Pradesh Goods and Service Tax Act).

At the outset, we would like to make it clear that the provisions of both the CGST Act and the APGST Act are the same except for certain provisions. Therefore, unless a mention is specafically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provisions under the APGST Act, The present appeal has been filed under Section 100 of the Central Goods and Services Tax Act, 2017 and the Andhra Pradesh Goods and Services Tax Act, 2017 lhereinafter referred ^{to as "the CGST Act and APGST Act"l by l4/s. Vishnu Chemicals} Ltd (herein after referred to as the "Appellant") against the Advance Ruling No. AAR No.21IAP/GST/2021 dated 20.O7.2021 issued by Authority for Advance Ruling, Andhra Pradesh.

1. Background of the Case:

1.1 The appellant , l4ls. Vishnu Chemicals Limited is engaged in manufacture of Basic Chromium Sulphate, Sodium Sulphate and Chromic Acid falling under HSN 28332990,28331100 and 28191000. Forthe ^purpose of storing the raw material as well as finished goods, the applicant needed some additional storage space and therefore, entered into lease agreements with M/s. Usha Tubes and Pipes Pvt, Ltd., Visakhapatnam (GSTIN:37AAACU7175R1ZG) (referredto as "UTPL") for leasing of

godowns situated at UTPL Campus, N4indi, Gajuwaka, Visakhapatnam.

1.2 The appellant submitted that monthly rental bills were received from M/s UTPL regularly till March 2018. But for the months from April 2018 to March 2019, M/s UTPL issued a single tax invoice bearing No. UTPLo919117KVC dated 01.04.2020 mentioning in the description as Rental charges for the months from April 2018 to March 2019 by showing rent month-wise for 12 months. The invoice mentioned CGST as 26,64,090/- and SGST of Rs. 26,64,090/- on total taxable value of Rs.

2,96,01,000.

1.3 The appellant had approached the Authority for Advance Ruling seeking a clarification whether the invoice dated 01.04.2020 is eligible for input tax credit if claimed before filing GST return for September 2021 or Annual return for 20-21 in terms of Sec 16(4). The Authority for Advance Ruling Andhra Pradesh in its orders in AAR no.21 / AP IGS'l l2O2L OI.2O.O7.2O2t ruled as under:

Question ^{1: Whether the tax invoice dated O1,O4.2020 issued by the} supplier of service for the rental service supplied for the ^period 01.04.2018 to 31,03.2019 is hit by the limatation for claiming ITC under Section 16(4)

of the CGST/SGST Act, 2017.

Answer: The invoice referred pertains to the services rendered in the financial year 2018-2019 and hence it is 'hit by the limitation for claiming ITC'

under Section 16(4).

Question2 ^{: If the applicant ava ls ITC on such invoice after 01.04.2020 and} before flling GST return for September 202l/Annual Return for 2020-2021, whether it amounts to violation of condition stipulatcd under sub section(4).

Answer:Affirmative.

Aggrieved by the above ruling, the appellant has filed the present appeal on thc following grounds.

2. crounds of Appeall The appellant states that the ruling of AAR is n