AAR : ‘Ordinance Factory’ unit functioning under MoD not eligible for exemption as ‘Government’

Maharashtra AAR holds applicant, an unit of Ordnance Factories Board (OFB), functioning under Dept. of Defence Production and Supply of Ministry of Defence (MoD) not eligible for exemption in respect of ‘Liquidated damages’ for delayed delivery of goods or services and ‘Security deposit’ forfeited of suppliers due to non-fulfilment of certain contract conditions under Notification No. 12/2017-Central Tax (Rate); Further, holds applicant liable to GST on ‘Food and Be...