2019 (2) TMI 64

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.... GST Rate on "supply of services to Solid waste management, Garbage Collection, Disposal, Water Supply, Cleaning of Colony" classified by the applicant as exempted supply as per Notification No. 12/2017 dated 28th June, 2017 as updated and amended time to time, 2. Facts of the case:- I. M/s. Dhananjay Kumar Singh H.N 13, Sanyasi Para, Khamtarai, Raipur (C.G.) is a service provider who is engaged in the business of executing service contracts and had been awarded a contract by the Chhattisgarh Housing Board (herein to referred as CGHB) for providing services in relation to Solid waste management, water supply operations, Garbage Collection door to door and disposal, Cleaning of colony i.e. garden, street, and open area, drainage system, sewerage cleaning of water tank (all UG Sump & Over head tank), cleaning of common area of residential area developed by Chhattisgarh Housing Board and not handed over to the local authority for its maintenance. The applicant is providing all those services to the CGHB that a local authority usually provides to the common resident under their jurisdiction. There are certain localities which are developed by CGHB for which maintenance work is given....

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....y under service tax regime is also produced below as defined in Notification No. 25/2012 dated 20.06.2012 and as amended from time to time. "Governmental authority" means an authority or a board or any other body; (i) set up by an Act of parliament or a State Legislature; or (ii) established by Government, with 90% or more participation by way of equity or control, to carry out any function entrusted to a municipality under article 243W of the Constitution; VI. Applicant, engaged in the business of executing service contracts had been awarded a contract by the Chhattisgarh Housing Board (CGHB) for providing services in relation to Solid waste management, water supply operations, Garbage Collection door to door and disposal, cleaning of colony i.e. garden, street, and open area, drainage system, sewerage cleaning of water tank (all UG Sump & Overhead tank), cleaning of common area of residential area developed by Chhattisgarh Housing Board and not handed over to the local authority for its maintenance. VII. The applicant's contention is that residential area developed by Chhattisgarh Housing Board and not handed over to the local authority by Chhattisgarh Housing Boa....

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.....2017, Serial No. 3, Chapter 99 reads as under:- Sl.No. Chapter, Section, Heading, Group or Service Code (Tariff) Description of Services Rate (per cent) Condition 3. Chapter 99 "Pure services (excluding works contract service or other composite supplies involving supply of any goods) provided to the Central Government, State Government or Union territory or local authority or a Government by way of any activity in relation to any function entrusted to a Panchayat under Article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution." Nil Nil 5.2 Applicant M/s. Dhananjay Kumar Singh has been awarded with the work order by Office of the Executive Engineer, Chhattisgarh Housing Board, 5.2. Applicant M/s. Dhananjay Kumar Singh has been awarded with the work order by Office of the Executive Engineer, Chhattisgarh Housing Board, Capital Project Division-I, Naya Raipur (C.G.) vide Order No. Work order agreement approved in Rs. 35, 11,000/- for colony maintenance work of C.G. Housing Board Colony Sector 29 Naya Raipur, Chhattisgarh. Nature of the work :- Colony maintenance work of C.G. Housing Board Colony Sec....

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....rominent in the field of Housing, Engineering Architecture of Town Planning to be appointed by the State Government. (h) Housing Commissioner; 5.5 Thus it gets amply clear that Chhattisgarh Housing Board is a "Government Authority" as per No. 12/2017-State Tax (Rate) No. F-10- 43/2017/CT/V(80), Naya Raipur, Dated 28.06.2017 and as amended by Notification No. 31/2017-State Tax (Rate) No. F-10-82/2017/CT/V(146), Naya Raipur, Dated 13.10.2017. "(ix) "Governmental Authority" means an authority or a board or any other body, - (i) set up by an Act of Parliament or a State Legislature; or (ID established by any Government,;) with 90 percent. or more participation by way of equity or control, to carry out an)' function entrusted or a Municipality/ under article 243 W of the Constitution or to a Panchayat under article 243 G of the Constitution. Thus Chhattisgarh Housing Board is a Government Authority fully owned by the State Government. 5.6 Now for arriving at a decision as to whether the nature of service supplies being provided by the applicant falls under 12th schedule, Article 243W of the Indian Constitution, the following works enumerated under Article 243W needs considerat....

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....l Project Division-I, Naya Raipur (C.G.) vide Order No. having work order agreement approved for Rs. 35,11,000/- for colony maintenance work of C.G. Housing Board Colony Sector 29 Naya Raipur, Chhattisgarh. The nature of work in the said work order has been specified as under: Nature of the work :- colony maintenance work of C.G. Housing Board Colony Sector 29 Naya Raipur with solid waste management, water supply operation, garbage collection door to door and disposal, cleaning of colony i.e. garden, street and open area, drainage system, sewerage, water tank (All UG Sump & Overhead Tank), cleaning of common area in multistoried building, etc. and all other related work pertaining to operation and maintenance. The service supply to be provided by the applicant by their very nature appear to fall in the list of services enumerated under serial no. 5, 6, 8, 10, 12 and 17 of 12th schedule of Article 243W of the Indian Constitution, thus qualifying the admissibility criterion. It has also been categorically stated by the applicant that the said services to be provided to Chhattisgarh Housing Board does not involve any transfer/sale of any goods. Services specified under serial no. 3....