A division bench of the Karnataka High Court has upheld the AAR ruling finding 18% GST is payable on ‘pattadar pass book cum title deed’.
A bench of Justice S. Sujatha and Justice Shivashankar Amarannavar was considering a writ petition filed by the assessee, M/s. Manipal Technologies Ltd, against the AAR ruling.
The petitioner/assessee was engaged in the business of printing books, magazines, calendars, diaries, bank passbooks, bank account opening forms, and various other stationery items required for the banking industry, educational institutions, and various other customers. Telangana State Technology Services Limited, on behalf of the Chief Commissioner Land Administration (CCLA), invited bids for the secure printing and delivery of Pattadar Pass Book and Title Deed to all pattadars and land owners.The petitioner participated in the said tender process and, being the successful bidder, was awarded the contract.
The bench held that the items in entries 4907-00, 4907-00-10 have a recognized face value. But, the `Pattadar Pass Book’ does not have a face value. Even it does not have fiduciary or intrinsic value. It is a mere pass book printed with blank columns to be filled up by the revenue authorities.
Upholding the AAR ruling, the High Court held that “in our considered view, the said decisions are rendered in civil disputes with regard to immovable properties and does not deal with the classification of pattadar pass book for the purpose of tax. Therefore, the said decisions will not help the case of the petitioner. Considering all these aspects, the authority for Advance Ruling and the Appellate Authority for Advance Ruling have rightly given a ruling that ’Pattadar Pass Book cum Title Deed’ is classifiable under HSN 4820 and it is not a document classifiable under HSN 4907. We do not find any perversity or infirmity in the said ruling impugned.”
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