Holographic Stickers Supplied by Excise Department Are “Goods,” Not Taxable Under GST : Madras HC

The Madras High Court ruled that holographic stickers supplied by the Prohibition and Excise Department for alcohol bottles are "goods," not "services," and non-taxable under GST.

Under Section 2(52) of the CGST Act, these stickers qualify as "goods" and not a "composite supply" subject to GST.

United Breweries Limited sought a refund of GST paid on Reverse Charge Mechanism (RCM) for stickers purchased between April 2018 and February 2020, citing a 2019 GST notification excluding such transactions from tax.

The Court held that past GST payments did not bind the company by promissory estoppel and directed authorities to process the refund under Section 54 of the CGST Act within three months.