Fact: M/s Mukand Limited is a Public Limited Company incorporated in India and engaged in the manufacture and supply of special and alloy steels and Overhead Traveling Crane (and parts thereof) solution for handling waste for Industrial Captive. The Applicant is a manufacturer of various type of crane for heavy materials handling solutions, providing solutions specifically for Biomass, steel industries, heavy equipment handling, handling cargo at ports, Co-generation, Waste-to-energy etc. Apart from manufacturing, the Applicant also provides aftermarket services to its customers. The Applicant enters into agreements with their customers for design, manufacture, and supply of crane and also for commissioning and installation of cranes at the site of the Customers.
Issue Involved: Whether the “Electric Overhead Traveling Grab Crane (EOT Grab Crane)” to be supplied by the applicant to the buyer for use in the waste-to-energy project is covered under Sl. No 234 of Schedule I of Notification 1/2017 dated 28.06.2018- IGST (Rate) as ‘Renewable energy devices and parts for the manufacture of waste to energy plants/devices’, attracting 5% levy.
Held: The Hon’ble AAR of Maharashtra vide order no. GST-ARA-18/2018-19/B-77 dated July 30, 2018 ordered that EOT Grab Cranes are the integral part of the Waste to Energy Plant projects for manufacturing and generation of end product of electricity and therefore, EOT Grab Cranes being used in waste to energy plant as per details given in the present case clearly fall under Serial No. 234 of schedule of Notification No 1/2017 – Integrated Tax (Rate) and liable to IGST @ 5%.
Citation: [2018] 98 taxmann.com 341 (AAR – MAHARASHTRA)