GST Exemption for Governmental Authority Services Under Article 243G Defined; Amendments Clarify Scope of Entities

Chapter 99 outlines a GST exemption for services provided by a Governmental Authority related to functions entrusted to a Panchayat under Article 243G of the Constitution. A Governmental Authority is defined as an entity set up by an Act of Parliament or State Legislature, or established by any Government, with at least 90% equity or control participation, to perform functions assigned to a municipality under Article 243W or a Panchayat under Article 243G. Amendments to this definition were made via notifications in 2017 and 2018, clarifying the scope of entities included.