The applicant M/s. Wilhelmsen Maritime Services Pvt Ltd has the largest maritime services network in the world supplying a wide portfolio of maritime goods and Services worldwide to every conceivable vessel type, in every market and region. WMSPL imports the goods from foreign countries and keeps them either in Bonded Warehouse or Non-Bonded Warehouse and supplies the same to ships proceeding to a foreign port from the Indian Sea-ports.
The Authority has observed that, WMSPL has w.e.f 1.7.2017 levied and paid GST on all its “Maritime Products” supplies. However, in WMSPL view the said supply should be considered an “Export of goods” as defined under Section of the IGST, 2017 and thus be considered as a zero-rated supply as per Section 16 of IGST Act, 2017.
The activity carried out by WMSPL is export of goods as the goods will move out of India when the next port call is not within the territorial waters of India. The shipping bill is filed to the customs at the relevant port for the purpose of delivery of goods on board. 3. As per the Customs Act, 1962 and the Central Excise Act, 1944 goods delivered to a ship proceeding to a foreign port at Indian sea-port were treated as exports of goods.
The Authority also said that, supply from bonded warehouse will fall under schedule III of the CGST Act “and exempted from GST and supply from Non-Bonded warehouse will not fall under Schedule III of CGST Act “and therefore not exempted from GST.Subscribe Taxscan Premium to view the Judgment