AAR : ‘Cost’ paid for contract manufacturing 'beer' not taxable, however, ‘fixed cost’ paid in lieu of job-work services taxable

Maharashtra AAR rules on taxability of ‘cost’ and ‘fixed fee’ paid by applicant under a Tie-up agreement with Privilege Industries Ltd. (PIL) under whereby PIL brew/manufacture, package and supply beer from its bottling unit; Observes that ‘costs’ are paid as a consideration for purchasing required materials, arranging labour and other facilities on behalf of applicant whereas the applicant entered into an agreement for brewing/manufacturing, packaging and supplyi...