Clean slate principle extinguishes uncrystallised operational claims and bars continuation of pending recovery and arbitral proceedings after plan app...
Works contract classification governs composite layout-development contracts where VAT-paid goods are transferred alongside construction and infrastru...
Specified income tax exemption for pollution control body remains conditional on non-commercial activity, unchanged income character, and return filin...
In this case, the Advance Ruling Authority (AAR) addressed the issue of whether Uttarakhand Peyjal Sansadhan Vikas Evam Nirman Nigam (UK Peyjal Nigam) qualifies as a Local Authority u/s 2(69) of the GST Act. The AAR determined that UK Peyjal Nigam does not meet the criteria of a Local Authority as it does not have control over a municipal or local fund entrusted by the Government. However, it was established that UK Peyjal Nigam is a governmental authority based on its formation by the State legislature. Consequently, the reverse charge mechanism does not apply to UK Peyjal Nigam, and it is exempt from paying tax on the construction of an overhead water tank, as it is considered an activity related to functions entrusted to a Municipality & Panchayat under the Constitution of India. Thus, UK Peyjal Nigam is categorized as a "Governmental Authority" and is not eligible to claim Input Tax Credit (ITC).
In this case, the Advance Ruling Authority (AAR) addressed the issue of whether Uttarakhand Peyjal Sansadhan Vikas Evam Nirman Nigam (UK Peyjal Nigam) qualifies as a Local Authority u/s 2(69) of the GST Act. The AAR determined that UK Peyjal Nigam does not meet the criteria of a Local Authority as it does not have control over a municipal or local fund entrusted by the Government. However, it was established that UK Peyjal Nigam is a governmental authority based on its formation by the State legislature. Consequently, the reverse charge mechanism does not apply to UK Peyjal Nigam, and it is exempt from paying tax on the construction of an overhead water tank, as it is considered an activity related to functions entrusted to a Municipality & Panchayat under the Constitution of India. Thus, UK Peyjal Nigam is categorized as a "Governmental Authority" and is not eligible to claim Input Tax Credit (ITC).
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