9911796707
TMI Blog2019 (10) TMI 795X X X X Extracts X X X X X X X X Extracts X X X X ..... 5.01.2018. HELD THAT:- The precondition for this is that the activity of the applicant is exempt either as a pure services covered under entry no.3 or a composite supply or works contract involving goods covered under entry no.3A of the Notification No. 12/2017 - Central Tax (Rate) dated 28.06.2017 as amended by Notification No.2/2018 - Central Tax (Rate) dated 25.01.2018 - The applicant offers this contract on sub-contract basis to subcontractors and any activity done by these contractors are not exempted either under entry 3 or entry 3A of the Notification No. 12/2017 - Central Tax (Rate) dated 28.06.2017. The entry no.3 states that the Pure Services (excluding works contract service or other composite supplies involving supply of any goo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n respect of the following question: Whether the landscape development and maintenance of garden work for State and Central Government Departments, all government local bodies (Municipalities and Corporations) etc. and other government undertakings through contract from sub-contracts attracts GST as inward supplies from those vendors? 3. The applicant furnishes some facts relevant to the stated activity: a. The applicant states that he is in the business of maintaining the gardens and landscape development for State and Central Governments, local bodies and government undertakings. He also stated that he has been providing pure services (excluding works contract services and other composite supplies not involving any goods) to these re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder entry no.3 of the Notification No. 12/2017 - Central Tax (Rate) dated 28.06.2017 and the same is clarified as exempt in the advance ruling issues in KAR ADRG 18/2018 dated 06.08.2018 = 2018 (9) TMI 1037 - AUTHORITY FOR ADVANCE RULINGS, KARNATAKA. 4.2 The second activity of the applicant is examined. As per entry no. 3A of the Notification No. 12/2018 -Central Tax (Rate) dated 28.06.2017 as amended by Notification No. 02/2018 - Central Tax (Rate) dated 25-01-2018 which reads as under: SI.No. Chapter, Section, Heading, Group or Service Code (Tariff) Description of Service Rate (per cent) Condition 1 2 3 4 5 3A Chapter 99 Composite supply of goods and services in which the value of supply of goods constitutes not more than 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 25% in order to satisfy the conditions provided in the Notification. 4.5 Secondly, the supply of such services must be for the Central or State Government Departments or a local authority or the recipient of such services must be a Government Entity or Authority as per the definitions provided in the said notification. It is also assumed for the time being that the recipient of services from the applicant is covered under these categories. 4.6 Then the third condition must be satisfied that the activity must be in relation to the function entrusted to a Municipality or Panchayat under Article 243W or Article 243G of the constitution respectively. Maintenance of parks is an activity entrusted under Article 243W of the Constitution and henc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the Central Government, State Government or Union Territory or a local authority or a Government Authority or a Government Entity are exempted from tax. In the present case, in both the scenarios, the supply of the sub-contract service is to the applicant by the sub-contractor and the applicant is not covered under the class specified either under entry 3 or entry 3A of the said Notification. 5. In view of the foregoing, we rule as follows RULING Even after assuming the activity of the applicant being either covered in entry no.3 or entry no.3A of the Notification No. 12/2017- Central Tax (Rate) dated 28.06.2017 (as amended), the activity supply by the sub-contractor to the applicant of execution of the sub-contract work of the said a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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