2020 (2) TMI 496

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....CIPAL CORPORATION OF GREATER MUMBAI, the applicant, seeking an advance ruling in respect of the following question. 1. Whether services provided by VFS global to applicant which are in the nature of collection services should be exempt from GST as per the notification no. 12/2017 of CGST Rate) read with Notification no. 02/2018 CGST (Rate) being pure service provided to the local authority by way of any activity in relation to any function entrusted to a Municipality under article 243W of the Constitution of India. At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar pr....

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..... 2.3 As per Notification No. 12/2017 of CGST, Pure services provided to Central Government, State Government or Union territory or local authority or a Governmental authority by way of any activity in relation to any function entrusted to a Municipality under Article 243 W of the Constitution will be exempt. 2.4 Further, vide Notification No. 02/2018 (CGST Rate) dated 25.01.2018 the definition of Pure Service is amended to include any Composite supply of goods and services in which the value of the supply of goods constitutes not more than 25 per cent to be exempt from GST if such services are provided to Government. 2.5 As per tender requirement, V FS provides goods apart from providing manpower services for collection of cash (T....

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....submitted that, the contention of the applicant that the services are in the nature of pure service and are used for any activity in relation to any function entrusted to Municipality under Article 243 W of the Constitution will be exempt from GST as per the notification no. 12/2017 of CGST (Rate) read with Notification No. 2/2018 of CGST (Rate) dated 25 January 2018, is not acceptable. 3.3 Further, there is no relation between service of collection of taxes and activities performed by M/s. MCGM in supplying services to citizens related to functions listed in twelfth schedule of article 243 W of Constitution of India because the supply of service by VFS starts only after completion of supply of services by the Applicant. 3.4 Hence, No....

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....ided by this authority to the applicant on matters or questions specified in Section 97(2), in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant. As per provision of section 95 of CGST ACT, this authority can give a ruling to an applicant on matters or questions raised, in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant. 5.4 We find that the question raised in the subject application, is not in relation to supply of goods or services or both being undertaken or proposed to be undertaken by the applicant. From the submissions made by the applicant, we find that in the subject transaction, they are a receiver ....