Strict construction of tax notifications excludes glass curtain wall contracts from building construction concessions.

A concessional tax notification for contracts relating to construction of buildings was held to apply strictly, so specialized work of fabricating and fixing glass curtain walls on an already planned or existing structure did not fall within that expression. The court reasoned that such activity was not itself construction of a building, and the broader definition of "building" in a different regulatory context could not be imported into the notification. The alternative argument that the work was incidental or ancillary also failed because it lacked a direct nexus with the construction of the building itself. The contract was therefore outside both relevant notification categories.

---

---

Issues: Whether the contract for construction and fixing of glass curtain walls could be treated as a contract for construction of buildings, or as an incidental or ancillary contract to such construction, so as to qualify for the concessional rate under the notification issued under section 6A(1) of the Works Contract Act.

Analysis: The notification specifically granted the concessional rate to contracts for construction of buildings and to contracts incidental or ancillary to those contracts. The Court held that the work of fabricating and affixing glass curtain walls on an already conceived building was not itself construction of a building. The applicant was not a building contractor and the activity involved specialized fabrication, supply, and erection of structural glazing on the exterior of a building constructed by another contractor. The notification, being one granting a lower rate of tax, had to be construed strictly, and the ordinary meaning of "construction of buildings" could not be extended to include fixing glass walls. The Court also rejected reliance on the definition of "building" in the Development Control Regulation, holding that it was framed for a different statutory context and could not be imported into the notification. The alternative plea that the work was incidental or ancillary also failed because the activity lacked the requisite direct nexus with the construction of the building itself.

Conclusion: The contract for construction of glass curtain walls did not fall within paragraph A of the notification, and it also did not qualify as an incidental or ancillary contract under paragraph B. The reference question was answered against the applicant.

Ratio Decidendi: A concessional tax notification for construction of buildings must be construed strictly, and specialized work of fabricating and fixing curtain walls to an existing building does not amount to construction of a building or an incidental or ancillary contract to such construction unless it has a direct nexus with the building construction itself.

---