Cold storage services in respect of agricultural produce exempt from GST: AAR

FACTS:

The applicant is the owner of the cold storage house and provides storage and warehousing facilities to variety of agriculture produce. The applicant submitted an application, seeking an advance ruling on taxability of storage services for various products namely Fennel (Saunf), Coriander (Dhaniya), Cumin Seeds (Jeera), Carom Seeds (Ajwain), Fenugreek Seeds (Kasoori Methi), Mustard Seeds (Sarson), Brown Mustard Seeds (Rai), Nigella Seeds (Kalonji), Poppy Seeds (Posara Dana). 

HELD:

The Court held that above mentioned goods fall under definition of Agricultural Produce, and therefore supply of cold storage service in relation to these products is exempt from levy of GST. However, if any processing is done on these products as is not usually done by a cultivator or producer at farm level, then these would fall outside the definition of agricultural produce and in such case, supply of cold storage service in relation to these would remain chargeable to GST.

[2018] 95 taxmann.com 122 (AAR- RAJASTHAN)