Order Date- 03 June 2022

• The Applicant, M/s. Srico Projects Private Limited, are works contract executing civil works for Central Government Employees Welfare Housing Organization (CGEWHO) and have applied for advance ruling in order to obtain clarification regarding rate of tax on works executed for the Government.
• The Authorities observed that DGGI, has initiated enquiry so, the case now falls under the first proviso to Sec 98(2) of the CGST Act, 2017, wherein their application is liable to be rejected as the question raised by them in the application is pending or decided in such proceedings before the DGGI.
• In the present case as the DGGI, Hyderabad has even issued a notice for payment of tax before the above hearing was held for disposal of the question raised before AAR. Merely because the application before the AAR was filed earlier to the investigation initiated by DGGI they will not be immune from any inquiry.
• Thus, as the proceedings are pending, their application stands rejected.