2019 (10) TMI 522

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....rport by construction of Runway, Taxi track, Apron, Isolation bay, Perimeter Road including Earth work and other allied works. (ii) Up gradation of Airport to make it suitable for operation of any type of aircraft by extension of Runway, Construction of New Apron, Taxi track, Isolation bay including Link taxi, GSE area, Perimeter road, and allied works (Civil & Electrical). 2. The applicant furnishes some facts relevant to the stated activity: a. The applicant is engaged in works contract relating to execution of large-scale infrastructure projects, like Airports, Defence Industrial/ Technical Buildings, Hospitals, Housing, Steel Structural, Highways, and Bridges. b. The applicant has been awarded a new project on 16th August 2017 by the Airport Authority of India and the contract allotted is in the nature of works contract. The scope of the project is development and up-gradation of Airports by construction or extension of Runway, construction of new Taxi track, Apron, Isolation bay, Perimeter road and other allied works. 4. With reference to the above contract under question, the applicant states that work got allotted to them through a tender of Airport Authority of Indi....

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....fabricated or otherwise." 4.5 The Airport Authority, which allots work to the applicant, is an organisation to be responsible for creating, upgrading, maintaining and managing civil aviation infrastructure both on the ground and air-space in the country. The Government of India constituted the Airport Authority of India (AAI) by merging the International Airports Authority of India (IAAI) and National Airports Authority (NAA) in April 1995 by an Act of Parliament, namely, the Airports Authority of India Act, 1994 and has been constituted as a Statutory Body. 4.6 The Government Entity is defined in the Notification No.33/2017 - Integrated Tax (Rate) dated 13th October, 2017 and it reads as under- "Government Entity" means an authority or board or any other body including a society, trust, corporation, (i) Set up by an Act of Parliament or State Legislature; or (ii) Established by any Government, with 90 per cent. or more participation by way of equity or control, to carry out a function entrusted by the Central Government, State Government, Union Territory or a local authority" The applicant hence states that Airport Authority of India is a Government Entity as it is set ....

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....n, or Heading Description of Services Rate (per cent.) Condition 3 Heading 9954 (Construction Services) (i) . . . .     (ii) composite supply of works contract as defined in clause 119 of section 2 of Central Goods and Services Tax Act, 2017 9 - (iii) . . . . . .     (iv) . . . . . .     (v) . . . . . . 6 -     (vi) Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, provided to the Central Government, State Government, Union Territory, a local authority, a Governmental Authority or a Government Entity by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of - (a) a civil structure or any other original works meant predominantly for use other than for commerce, industry, or any other business or profession; (b) a structure meant predominantly for use as (i) an educational, (ii) a clinical, or(iii) an art or cultural establishment; or (c) a residential complex predominantly meant for self-use or the use of their employees or other persons specified in paragraph 3....

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....a new construction to be carried out and so does the apron and other areas. Therefore the applicant is enaged in construction of new civil structures. The term "original works" is not defined in the Act, but the definition is provided in the Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 where in the same reads as under: "2. Definitions. - For the purposes of this notification, unless the context otherwise requires, (zs) "original works" means- all new constructions; (i) all types of additions and alterations to abandoned or damaged structures on land that are required to make them workable; (ii) erection, commissioning or installation of plant, machinery or equipment or structures, whether pre-fabricated or otherwise;" The applicant is, therefore, engaged in construction of new civil structures. The activities carried out by the applicant are covered under the relevant serial number of the Notification. 7.8 The next issue is whether these works are meant predominantly for use other than for commerce, industry, or any other business or profession? In this regard, the original works done by the applicant are for use by the Airports Authority of India for supp....