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TMI Blog2019 (9) TMI 266X X X X Extracts X X X X X X X X Extracts X X X X ..... ara 10(a) shall be completed by both the parties as expeditiously as possible and in any event within 12 weeks from the date of receipt of a copy of this order - petition disposed off. - W.P.No.25119 of 2019 And WMP No.24683 of 2019 - - - Dated:- 27-8-2019 - Mr. Justice M. Sundar For the Petitioner : Mr.G.Surya Narayanan For the Respondents : Mr.R.P.Prathap Singh, Government Advocate for R1 to R3, Ms.Hema Muralikrishnan, Senior Standing Counsel for R4 ORDER Mr.G.Surya Narayanan, learned counsel on record for writ petitioner, Mr.R.P.Prathap Singh, learned Government Advocate, who accepts notice on behalf of respondents 1 to 3 and Ms.Hema Muralikrishnan, lea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 6. There is no disputation or disagreement before this Court that GST regime became operational on and from 01.07.2017. As mentioned supra, the contract which forms subject matter of these two writ petitions is dated 23.01.2015, which is prior to the GST regime. Therefore, the contract does not provide for payment of GST. 7. This Court is informed that work under the said contract is now under way. 8. When the work was under way, the GST regime became operational on and with effect from 01.07.2017 and therefore, writ petitioner wrote to the second respondent i.e., Salem City Municipal Corporation on 11.07.2018, regarding liability to pay GST. To this communication from the writ petitioner, seco ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3. Heading 9954 (Construc tion on Services) (i) Construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration has been received after issuance of completion certificate, where required, by the competent authority or after its first occupation, whichever is earlier. (Provisions of Paragraph 2 of this notification shall apply for valuation of this service) 18 (ii) composite supply of works contract as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re is no disputation or disagreement before this Court that the tax liability is 12 % for aforesaid contract. 11. This has impelled the writ petitioner to file the instant writ petitions, with prayers inter alia to direct the respondents 1 and 2 to pay the difference of 10% GST on the original agreed contract value, so that the tax liability is in accordance with law that has become operational when contract was in vogue and work pursuant to the contract was in progress. 12. In the light of the heading under which the instant contract which forms subject matter of instant writ petitions falls and in the light of there being no dispute that the rate of tax is 12%, it may not be necessary to advert to fur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... W.P.No.2307 of 2018. The challenge failed and the writ petition came to be disposed of by an order dated 28.01.2019 by a Hon'ble Single Judge of this Court. Writ petition was carried in apeal by way of an intra Court appeal being W.A.No.1499 of 2019 and the intra Court appeal also came to be dismissed by a Hon'ble Division Bench of this Court vide order dated 27.06.2019. 19. This Court is informed that the aforesaid challenge to G.O.Ms.No.296, Finance [Salaries] Department, dated 09.10.2017 has been given legal quietus and therefore, G.O.Ms.No.296, Finance [Salaries] Department, dated 09.10.2017 is now operating. This takes us to the question as to which portion of G.O.Ms.No.296, Finance [Salar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ke payment of final bills accordingly, in cases where 'on account' payment has been made as per Government Order first read above and any excess payment, if made 'On account', shall be adjusted from out of 5 percent amount retained by the procuring entities.' 21. Therefore, the parties will now stand governed by paragraph 10(a) and paragraph 12 of aforesaid G.O.Ms.No.296, Finance [Salaries] Department, dated 09.10.2017. 22. The exercise of quantification qua para 10(a) shall be completed by both the parties as expeditiously as possible within 12 weeks from the date of receipt of a copy of this order. Though obvious it is made clear that work under the aforesaid contract shall continu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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