Clarification regarding rate of tax applicable on construction services provided to a Government Entity, in relation to construction such as of a Ropeway on turnkey basis

Tax classification for ropeway construction to government entities: treated as general works contract, not concessional entry.

Entry No. 3(vi) applies to a composite supply of works contract for civil structures meant predominantly for non commercial use and provided to government bodies; the explanatory note excluding government activities as public authorities does not extend to Governmental Authority or Government Entity. Ropeway construction for tourism is treated as a civil construction with a predominant commercial purpose and is not covered by entries for roads, bridges, terminals, or railways. Therefore, works contract services for ropeway construction supplied to a Government Entity fall under the general works contract classification for other constructions and not under the concessional entry.