Karnataka AAAR in the case of Sri. Taghar Vasudeva Ambrish

Case Covered:

Sri. Taghar Vasudeva Ambrish 

Facts of the case:

Taghar Vasudeva Ambrish (hereinafter referred to as “the applicant”) along with four other namely, Mrs. M.C. Nagarathna, Mr. T.V. Ambarish, Mr. T.V. Nagaraj & Mr. T.V. Anjan (“joint owners”) have collectively leased out a multi-storied property constructed at site bearing no. 14, formed in converted Survey No. 68 (Old Survey No. 67), situated at ‘Agugodi village, Begur Hobli, South Taluk, Banglore’ to M/s D Twelve Spaces Pvt. Ltd. (“the lessee”).

The property which has been leased out by the Lessors comprises of a stilt floor (having two rooms) plus ground and four floors with each floor having 8 rooms. The Appellant is the sole and absolute owner of the stilt and ground floor in the building. The first, second, third, and fourth floor of the said building is owned solely and absolutely by Mrs. M.C. Nagarathna, Mr. T.V. Ambarish, Mr. T.V. Nagaraj & Mr. T.V. Anjan respectively.

Observations:

We have gone through the records of the case and considered the submissions made by the appellant in their grounds of appeal as well as at the time of personal hearing. The issue to be decided in this appeal is whether the activity of leasing of property by the Appellant jointly with four others is exempted from GST by virtue of the exemption in entry No. 13 of Notification No. 09/2017-IT(R)  dated 28.06.2017.

The Appellant has placed before us the following documents for consideration:

a) Copy of the Lease Deed dated 21st June 2019

b) Copy of the Layout Plan bearing No. Ad.com/SUT/1412/14-15 dated 27.05.2015 issued by the Assistant Director of Town Planning (South), BBMP

c) Katha Extract bearing No. BMP/ REV/2019-20/KE/1529971 dated 3.01.2020.

d) Legal due diligence report dated 14.06.2019.

Ruling:

We uphold the Advance Ruling No KAR/ADRG 17/2020 dated 23-03-2020 and dismiss the appeal filed by Sri. Taghar Vasudeva Ambrish, #8/2, 36th Cross, 11th “A” Main, 4th T Block, Jayanagar, Bengaluru, on all counts.

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