Order Date – 16 April 2024

Facts –

• The Applicant, M/s Waaree Energies Limited, is engaged in the manufacture of solar modules. They are registered under the category of taxpayer as an "SEZ Unit"
• The Applicant avails services such as Goods Transport Agency (GTA), Legal services from Advocate, Security Services, Bus Hiring for employees (specified services) from Domestic tariff Area for their SEZ Unit.

Issue –

• Whether the applicant being an SEZ unit is required to pay tax under reverse charge?

Order –

• The AAR observed that the applicant, an SEZ unit, can procure the services mentioned supra, for use in authorized operations without payment of IGST provided the applicant, furnishes a LUT or bond as specified in condition (i) of para 1 of notification No. 3712017-C'l'.
• Hence it was held that the applicant. an SEZ unit, is not required to pay GST under RCM on specified services in accordance with notification No. 10/2017-IT(Rate) dated 28.6.2017 as amended from time to time. subject to Furnishing a LUT or bond as specified in condition (i) of para 1 of notification No. -17/2017-CT .