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TMI Blog2019 (9) TMI 513X X X X Extracts X X X X X X X X Extracts X X X X ..... Section 99 of the West Bengal Goods and Services Act, 2017, within a period of thirty days from the date of communication of this Ruling, or within such further time as mentioned in the proviso to Section 100 (2) of the GST Act. Every such appeal shall be filed in accordance with Section 100 (3) of the GST Act and the Rules prescribed thereunder, and the Regulations prescribed by the West Bengal Authority for Advance Ruling Regulations, 2018. 1. Admissibility of the Application 1.1 The Government of West Bengal has set up the Applicant under Notification No. HF/SPSRC/WBMSC/40/2008/162 dated 17/11/2008 of the Department of Health & Family Welfare as a fully owned entity for managing the procurement of drugs and equipment for the medical c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is admissible for advance ruling under section 97 (b) of the GST Act. 1.5 The Applicant further submits that the question raised in the Application is neither decided by nor pending for decision before any authority under any provisions of the GST Act. The concerned officer from the Revenue does not object to the admission on this point. 1.6 The Application is, therefore, admitted. 2. Submissions of the Applicant 2.1 The Applicant submits that it is a governmental authority as defined under clause 2(zf) of the Exemption Notification. The services it supplies are activities in relation to the function entrusted to a Panchayat under Sl No. 23 of the Eleventh Schedule under Art 243 G of the Constitution of India. It acts as the implementin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... refers to the apex court's decision in Hindustan Steel (AIR 1970 SC 1150) = 1969 (12) TMI 109 - SUPREME COURT to conclude that the employees of such statutory authorities or bodies do not become Government Employees while rendering their services in those entities. He also refers to Para 2.4.1 0 of the Education Guide of CBEC published on 20/06/2012 to emphasise that such regulatory bodies or autonomous entities would not comprise either Government or local authority. 3.2 The concerned officer from the Revenue does not agree that the Applicant's service is an activity in relation to the function entrusted to a Panchayat or a Municipality. There is no evidence that the Applicant is engaged directly by a Panchayat/Municipality. 3.3 Finally ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the previous service tax regime, the exemption was limited to certain functions specified in Sl.No. 25(a) of the ST Notification, whereas, under the GST, the ambit has been broadened to include all such functions as entrusted to a Panchayat or a Municipality under the Constitution. 4.3 The example of ambulance service provided by a PSP also makes it clear that the service provider or the recipient need not be a Panchayat or a Municipality. While examining whether the ambulance service the PSP provides is eligible for exemption under Sl.No. 3 of the Exemption Notification, the Circular does not venture into who the service provider or the recipient is. It focuses on the nature of the service and whether it is an activity relatable to a fun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able to a function listed under the Eleventh or the Twelfth Schedule under Art 243 G or 243 W of the Constitution. 4.5 According to para 2(zf) of the Exemption Notification, a governmental authority means an authority or a board or any body (i) set up by an Act of Parliament or a State Legislature; or (ii) established by any Government, with 90 per cent or more participation by way of equity or control, to carry out any function entrusted to a Municipality under article 243 W of the Constitution or to a Panchayat under article 243 G of the Constitution. 4.6 The Applicant has been set up under Notification No. HF/SPSRC/WBMSC/40/2008/162 dated 17/1 1/2008 of the Department of Health & Family Welfare, Government of West Bengal, as a fu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tification, with 100 per cent participation by way of equity and control, to carry out a function entrusted to a Panchayat under Sl No. 23 of the Eleventh Schedule under Article 243 G of the Constitution. It is, therefore, a Governmental Authority as defined under para 2(zf) of the Exemption Notification. 4.9 The Applicant has not provided any invoice or work order. The description of the activity for which the Applicant raises tax invoice is, therefore, not ascertained. However, the Applicant is eligible for exemption under Sl No. 5 of the Exemption Notification on supply of any service, including composite supplies like works contract service whatever be the proportion of goods, in relation to establishment and maintenance of hospitals a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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