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TMI Blog2019 (8) TMI 1220X X X X Extracts X X X X X X X X Extracts X X X X ..... bmitted by the applicant, it appears that the services provided by them do not involve any supply of goods and hence the services appear to be falling in the definition of Pure Services . However, the definition of pure services requires the verification of facts involves in the execution of contract. Similarly whether the contract is related to the function covered under the Article 243G and 243W is to be interpreted as to how the Local Authority is going to utilize the services provided under the contract, it is also therefor the question of interpretation of fact that the services provided by the applicant are actually utilized by the Local Authority for the function covered by Article 243G and 243W. X X X X Extracts X X X X X X X X Extracts X X X X ..... Rajkot Municipal Corporation 5 Gandhinagar Municipal Corporation. 13 Rajkot Urban Development Authority 6 Gandhinagar Urban Development Authority 14 Punjab Urban Development Authority 7 Sports Authority of Gujarat, Gandhinagar 15 Gujarat State Police Housing Corporation Ltd. 8 Executive Engineer, R&B Division, Himmatnagar 16 R & B Panchayat Div. Vadodara 3. The applicant has submitted that they have been providing services to above authorities/departments since under Services Tax Law and also continued in the GST regime and made invoices for their services by charging GST. However, the applicant submitted that, some of the departments from above are of the view that his services are exempted from CGST and Gujarat GST as per of Notification No.12/2017 Central Tax (Rate) dated 28/06/2017 and Notification No.12/2017- (Gujarat) State Tax (Rate) dated 30/06/2017 respectively. The applicant also took the base of FAQ (Frequently Asked Question) publish on www.cbec.gov.in -> GST -> My GST->Sectorial FAQ -> Government Service - > Question No. 25, which is reproduced as under:- Question 25: What is the scope of 'pure services' mentioned in the exemption ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o.25 of FAQ issued by CBEC regarding Govt. Services which is reproduce as under :- "In the context of the language used in the Notification, supply of services without involving any supply of goods would be treated as supply of pure services'. For example, supply of man power for cleanliness of roads, public places, architect services, consulting engineering services, advisory services and like services provided by business entities not involving any supply of goods would be treated as supply of pure services. On the other hand, let us take the example of governmental authorities awarding the work of maintenance of street lights in a municipal area to agency which involve apart from maintenance, replacement of defunct lights and other spares. In this case, the scope of the service involves maintenance work and supply of goods, which falls under the works contract services. The exemption is provided to services involves only supply of services and not for work contract services". 4.1 He has, inter-alia, mentioned that as per the documents submitted by the applicant, it appears that the services provided by applicant do not involve any supply of goods and hence they are falling in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... il Nil 5.1 From the above it is forthcoming that the services are exempted from the CGST and SGST Tax if they are Pure services (excluding works contract service or other composite supplies involving supply of any goods) provided to the Central Government, State Government or Union territory or local authority or a Governmental authority by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution. 5.2 We place the reliance on FAQ (Frequently Asked Question) publish on www.cbec.gov.in -> GST -> My GST-> Sectoral FAQ -> Government Service - > Question No. 25, which is reproduced in Para 4 above. 5.3 From the documents submitted by the applicant, it appears that the services provided by them do not involve any supply of goods and hence the services appear to be falling in the definition of "Pure Services". However, the definition of pure services requires the verification of facts involves in the execution of contract. Similarly whether the contract is related to the function covered under the Article 243G and 243W is to be interp ..... X X X X Extracts X X X X X X X X Extracts X X X X
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