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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
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Concessional GST eligibility for government construction clarified; ropeway projects classified under standard works contract rate applicable. A ropeway constructed on a turnkey basis for a Government Entity is not 'meant predominantly for use other than for commerce, industry, business or profession' and therefore does not qualify for the concessional entry for composite works contracts; such works contract services fall under the residual entry and attract the standard works contract GST rate.
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Concessional GST eligibility for government construction clarified; ropeway projects classified under standard works contract rate applicable.
A ropeway constructed on a turnkey basis for a Government Entity is not "meant predominantly for use other than for commerce, industry, business or profession" and therefore does not qualify for the concessional entry for composite works contracts; such works contract services fall under the residual entry and attract the standard works contract GST rate.
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