2,177 total views
GST:
Cost of diesel incurred for running DG Set in the course of providing DG Rental Service is nothing but additional consideration for the supply of DG Set on rent
IN THE AUTHORITY FOR ADVANCE RULINGS, KARNATAKA BENCH
M.P. RAVI PRASAD & MASHHOOD UR REHMAN FAROOQUI, MEMBER
Goodwill Auto’s, In re
KAR ADRG 44/2021
30 July, 2021
Represented by: Shankar Y Basangoudar, Partner
ORDER
C. Radhakrishnan
The reimbursement of cost of diesel by the hiree categorically says it is reimbursement of expenses. Had the reimbursed expenses not expended by the hirer, the hiree would have incurred such expenditure. The hiree himself would have incurred such expenditure on his own. A check has also to be done as to whether the diesel bill is drawn in the name of hiree. Further the contract agreement for hiring shall also be seen to know whether the hire amount only is the consideration for contract. In my opinion the reimbursement of diesel for genset shall not amount to additional consideration. Further appeal is warranted