GST rates to State & Central Government Organizations

[SATHYHA DEEP]

We are doing Water & Waste Water Treatment Projects to both State & Central Government Organizations like NIMHANS, BHEL, BWSSB etc.

Have a few Queries/Clarifications for which we seek expert opinion.

1) What is the GST Rates for execution of Projects - For Ex: If we undertake execution of STP, WTP Project, which includes Civil work, Erection & Commissioning of Electro Mechanized Equipment till completion & training ?

2) What is the GST Rates for AMC for above said Projects ?

3) What is the rate for providing Consultancy Service to execute the above projects ?

4) Is it mandatory to raise Invoice to Government Organizations ? Usually the contract is awarded through Tenders & most of the times Tender Value is all inclusive of Taxes.

Kindly clarify the above & guide us for better adoption in our area of expertise.

[KASTURI SETHI]

NIMHANS, BHEL, BWSSB do not fall under the definition of Govt. Further query-wise reply is as under:-

1. HSN 9954 12%

2. HSN 9987 18%

3.HSN 9983 18%

4. Yes. It is mandatory.

AI Summary

GST classification for public sector contracts requires HSN-based rates for works, services and mandatory invoicing compliance.
Named entities NIMHANS, BHEL, BWSSB do not fall under the definition of government for this query. Execution of STP/WTP projects (civil, erection, commissioning, training) is classified under HSN 9954 with the applicable GST rate; AMCs are under HSN 9987 and consultancy services under HSN 9983 with their respective GST rates. It is mandatory to raise invoices to government organizations even when tenders state tax-inclusive pricing.