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TMI Blog2021 (8) TMI 526X X X X Extracts X X X X X X X X Extracts X X X X ..... tter and differ from each other only on a few specific provisions. Therefore, unless a mention is particularly made to such dissimilar provisions, a reference to the CGST Act would also mean reference to the corresponding similar provisions in the APGST Act. 2. The present application has been filed u/s 97 of the Central Goods & Services Tax Act, 201 7 and AP Goods & Services Tax Act, 2017 (hereinafter referred to CGST Act and APGST Act respectively) by M/s. Building Roads Infrastructure & Construction Private Limited (hereinafter referred to as applicant). 3. Brief Facts of the case: M/s. Building Roads Infrastructure & Construction Private Limited (applicant) is an unregistered dealer expecting a contract for construction, erection, co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n No.11/2017 which provides as under: SI. No. Chapter, Section or Heading Description of Service Rate (per cent.) Condition (1) (2) (3) (4) (5) 1 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, 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 - 3. The other competing entries are entries at Serial No.3 (ix) and 3 (x) which pertain to works contract services provided by the sub-contractor to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice does not apply to the service mentioned in SI. No. (iv) because of exclusion clause. In the circumstances explained above the applicant approached the Advance Ruling authority for clarification. 6. Personal Hearing: The authorised representative of the applicant, Sri K.V.J.L.N. Sastry, Advocate appeared in person for Personal Hearing held on 28.10.2020 and he reiterated the submissions already made in the application and requested to pass necessary orders. 7. Discussion and Findings: We examined the applicant's view of interpretation of Law, facts of the case and the questions placed for Ruling as well as the submissions made at the time of Personal Hearing. The applicant has stated that they are proposed to be a sub-contractor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... territory, a local authority, a Governmental Authority or a Government Entity, which attract GST of 12%. Likewise, H/CS attracting 5% GST, their sub-contractor would also be liable to pay @ 5%." National Highways Authority of India was set up by an act of the Parliament, NHAI Act, 1988, under the administrative control of the Ministry of Road Transport and Highways. It was set up as a central authority to develop, maintain and manage the National Highways entrusted to it by the Government of India. Hence, the instant case is qualified to fit in the above category. Accordingly, the principal rate Notification No. 11/2017 was amended vide Notification No. 1/2018-Central Tax (Rate), dated 25.01.2018 to amend the entries at Serial No 3 by in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dit ledger of such person." The applicant is eligible to claim ITC with subject to the satisfaction of certain pre requisite conditions mentioned in Section 16 (2) such as, being in possession of tax invoice, having actually received goods or services, tax being paid by the supplier, return being filed under Section 39 etc. In addition to the above, certain restrictions are imposed on availment of Input Tax Credit under Section 17(5) of CGST Act, 2017. Section 17(5) (c) and (d) of the Act restricting certain credits, is read as under;- ........................ "(5) Notwithstanding anything contained in sub-section (1) of section 16 and Sub-section (1) of section 18, input tax credit shall not be available in respect of the following, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ount as per section 17(5) (d). As a matter of fact, the applicant carries out construction not on his own account, but as a subcontractor to the main contractor who was awarded contract by NHAI. In light of the facts submitted by the applicant, thus it is clear that the clauses of blocked credits under section 17(5) (c) & (d) are not applicable to the instant case and thus eligible for claiming Input Tax Credit subject to the requisite conditions as mentioned in the Section 16 (2) of the CGST Act, 2017. In view of the above foregoing it is ruled as under. RULING (Under Section 98 of Central Goods and Services Tax Act, 2017 and the Andhra Pradesh Goods and Services Tax Act, 2017) Question: What is the classification of the 'works co ..... X X X X Extracts X X X X X X X X Extracts X X X X
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