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TMI Blog2019 (10) TMI 315X X X X Extracts X X X X X X X X Extracts X X X X ..... ant was covered under the scope of Serial No. 3(iv) of the Notification No. 11/2017 (as amended), which provided the rate of GST on the services supplied by way of construction of road/bridges. Thus, the services provided by the Applicant as sub-contractor to principal contractors continues to be covered under the Serial No. 3(iv) of the principal rate Notification No. 11/2017 which was inserted vide Notification No. 20/2017-Central Tax (Rate), dated 22-8-2017. - Rate of GST is 12%. X X X X Extracts X X X X X X X X Extracts X X X X ..... on which advance ruling can be sought. 97. (2) The question on which the advance ruling is sought under this Act, shall be in respect of, - (a) classification of any goods or services or both; (b) applicability of a notification issued under the provisions of this Act; (c) determination of time and value of supply of goods or services or both; (d) admissibility of input tax credit of tax paid or deemed to have been paid; (e) determination of the liability to pay tax on any goods or services or both; (f) whether applicant is required to be registered? (g) whether any particular thing done by the applicant with respect to any goods or services or both amounts to or results in a supply of goods or services or both, within the meaning of that term. It is observed that the queries of the applicant in para Ill is related to the question of classification of the 'Works Contract' services pertaining to construction, erection, commissioning and completion of 'Bridges' provided by the applicant as a sub-contractor to the Contractors who have been awarded the construction contract pertaining to construction/widening of roads by the Government Entities falls u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a in the application filed by Shree Constructions. (ii) Ruling of the Authority for Advance Ruling, Kerala in the application filed by M/s. Mary Matha Construction Company. (iii) Recommendation of the GST Council vide its 25th Meeting wherein as per Serial No. 12 in the Press Report it was resolved that subcontractors would pay tax at the game rate as principal. (iv) Decision of the Hon'ble Supreme Court of India in the case of State of Andhra Pradesh v. Larsen & Toubro - (Civil Appeal No. 5239 of 2008). VI. Hearing : The case was taken up for hearing on 2-8-2019. Sh. Mohinder Kumar, Taxation Head and Sh. Rajan Mittal, Advocate attended the personal hearing on behalf of the applicant. They provided a detailed submissions relying on Notification No. 11/2017, dated 28-6-2017. They also submitted two Advance ruling's from Maharashtra AAR and Kerala AAR pertaining to similar issue. Moreover, a judgment from Supreme Court [Civil Appeal No. 5239 of 2008 arising out of SLP (C) No. 12482 of 20071 was also presented to clarify the parity between contractor and sub-contractor for tax purpose. They requested to take into view all these submissions and pass a suitable ruling. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Section 2 of Central Goods and Services Tax Act, 2017 9 - (iii) Construction services other than (i) and (ii) above. 9 - 15. Serial No. 3 of Notification No. 11/2017 was amended by Notification No. 20/2017-Central Tax (Rate), dated 22-8-2017 and new entries at Serial No. 3(iii), 3(iv), 3(v) and 3(vi) were inserted. Serial No. 3 (iv) the Notification No. 11/2017 after amendment vide Notification dated 22-8-2017 read : Sl. No. Chapter, Section or Heading Description of Service Rate (per cent.) Condition (1) (2) (3) (4) (5) 3 Heading 9954 (Construction services) (iv) Composite supply of works contract as defined in Clause (119) of Section 2 of the Central Goods and Services Tax Act, 2017, supplied by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of,- (a) a road, bridge, tunnel, or terminal for road transportation for use by general public; 6 - 16. GST Council in their 25th meeting on 18-1-2018 has made the following Recommendations on GST Rate changes on services - (A) Exemptions/ Changes in GST Rates/ITC Eligibility Criteria 12 To reduce GST rate (from 18% to 12 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... providing services to Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. The new entries at Serial No. 3(ix) and 3(x) inserted vide Notification dated 25-1-2018 prescribed GST rate for sub-contractor services pertaining only to the services provided by the main contractor to the Governments/Government entity which were covered in Serial No. 3(iii), Serial No. 3(vi) and Serial No. 3(vii) of the principal rate Notification No. 11/2017. 19. The entry at Serial No. 3(iii) concerned with works contract services provided by a sub-contractor to the main contractor where the main Contractor is providing works contract services to a Government Entity by way bf construction, erection, commissioning, installation, completion of a historical monument/ archaeological site, canal/dam or other irrigation works, pipeline, conduit or plant for water supply/water treatment, etc. The entry at Serial No. 3(vi) concerned with works contract services provided by a sub-contractor to the main contractor where the main contractor is providing works contract services to a Government Entity by way of construction, erection, commission ..... X X X X Extracts X X X X X X X X Extracts X X X X
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