The Maharashtra Authority for Advance Ruling has said overseas liasion offices should come under the GST net, which is contrary to the stand taken by its counterparts in Rajasthan, Tamil Nadu and Karnataka.

The case relates to the Dubai Chamber of Commerce and Industry which has set up an office, DCCI UAE, in Mumbai. The entity claims to be a non-profit organisation promoting the interests of Dubai businesses.

The Maharashtra AAR has questioned this non-profit status . “There is definitely a supply of services by the applicant to various businesses in India and Dubai and such supply is done by the applicant as an intermediary,” its order said.

In October, the Karnataka AAR said there was no “taxable supply” and the liasion office need not get a GST registration certificate.

Abhishek Jain, tax Partner, EY, said: “Such contrary judgments add to the confusion and further warrants creation of a Central Advance Ruling authority. It’s worth noting here that while the Maharashtra AAR distinguishes the earlier judgments on facts, it also adds to the dilemma as to what activities of liaison office are outside GST purview and what are not, and as such the government can consider providing explicit clarity on this topic”.