TaxTMI 
TaxTMI 
2020 (12) TMI 797
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....ticle 243W? 3. Whether the services provided by the applicant fall under the Exemption Notification No. 12/2017 dated 28th June, 2017 (Entry No. 3 of Exemption Notification) as amended from time to time as the services are in the nature of pure labour services. 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 provisions, a reference to the CGST Act would also mean a reference to the purposes of this same provision under the MGST Act Further to the earlier, hence forth for the Advance Ruling, the expression 'GST Act' would mean CGST Act and MGST Act. 2. FACTS AND CONTENTION - AS PER THE APPLICANT The submissions made by the applicant is as under : - 2.1 Applicant, M/s. Janki Sushikshit Berojgar Nagrik Seva Sahakari Sanstha MA, Amravati-444605, provides labour to the municipal corporation, which include cleaning staff, data entry operators, helpers, teachers (Psychologist and Speech therapist) for Zilla Parishad schools and colleges. These labour belong to the economically weaker sections of soc....
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....to the matters listed in the Twelfth Schedule; (b) the Committees with such powers and authority as may be necessary to enable them to carry out the responsibilities conferred upon them including those in relation to the matters listed in the Twelfth Schedule. Now, the 12th Schedule of the Indian Constitution enumerates the following activities, in which our society is engaged, a) Public health, sanitation conservancy and solid waste management. b) Safeguarding the interests of weaker sections of society, including the handicapped and mentally retarded. c) Public amenities including street lighting, parking lots, bus stops and public conveniences. 2.6 As per Notification No. 12/2017- Central Tax (Rate), intra-State supply of services of description as specified are exempt from so much of the central tax leviable thereon under sub-section (1) of Section 9 of the said Act, as is in excess of the said tax calculated at the rate unless specified otherwise, subject to the relevant conditions. Sr.No. Tariff Description of Services Rate (percent) 1. Chapter 99 Pure services (excluding works contract service or other comp....
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....hri. Mayur Zanwar CA of applicant and jurisdictional officer both, attended the hearing. Applicant was asked to submit contract copies in English. 05. OBSERVATIONS AND FINDINGS: 5.1 We have gone through the facts of the case, documents on record and submissions made by both, the applicant as well as the jurisdictional office. 5.2 Applicant, is running a society of labour belonging to the economically weaker sections of society, having certain objectives as cited supra in applicant's submission. As per the submissions, applicant is mainly engaged in providing labour to the Municipal Corporation, Government Offices, Government Ashrams, and Government Medical Collage and hospitals and all the activities carried out by them directly or indirectly, helps the Municipal Corporation to achieve its objective listed in Maharashtra Municipal Corporation Act, 1966. 5.3 From the submission and documents submitted before us we find that, the applicant has received various work orders for supply of services or goods from the Municipal Corporation, District Collector's Office, State Level Offices and Government Medical Colleges and treatment hospitals, which are listed as under:- ....
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.... law, endow (a) the Municipalities with such powers and authority as may be necessary to enable them to function as institutions of self-government and such law may contain provisions for the devolution of powers and responsibilities upon Municipalities, subject to such conditions as may be specified therein, with respect to (i) the preparation of plans for economic development and social justice; (ii) the performance of functions and the implementation of schemes as may be entrusted to them including those in relation to the matters listed in the Twelfth Schedule; (b) the Committees with such powers and authority as may be necessary to enable them to carry out the responsibilities conferred upon them including those in relation to the matters listed in the Twelfth Schedule..." The Twelfth Schedule for Article 243W of the Constitution (Seventy-Fourth Amendment) Act, 1992 are as follows; 1. Urban planning including town planning. 2. Planning of land- use and construction of buildings. 3. Planning for economic and social development. 4. Roads and bridges. 5. Water supply for domestic, industrial and comm....
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....mentioned Clause 1 and 2. Hence it is felt that, such subject supply is out of purview of the scope of Clause 1 and 2 of 12th Schedule of Article 243 W of the Constitution, as functions entrusted to Municipality. 5.7 The Second question raised by the applicant is whether the meals provided to Government Ashrams for economically weaker class of students fall within Clause 1 & 2 of the Twelfth Schedule of Article 243W. 5.71. It is seen that Clause 1 & 2 of the 12th Schedule enumerates certain functions to be undertaken by a Municipality in relation to and including Urban planning including town planning and Planning of land - use and construction of buildings. First of all the applicant is not supplying any meals, in fact their submissions reveal that they are only supplying vegetables and mutton which cannot be considered as meals. Further such supply can in no way be correlated with the functions mentioned under Clause 1 & 2 of the 12th Schedule and therefore we hold that supply of vegetables and mutton are not covered under the said Clauses 1 & 2. 5.8 The third question raised by the applicant is whether the services provided by them fall under the Entry No. 3 of Ex....
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....pment, Amravati (State Govt.); supply skilled and unskilled staff to the Divisional Commissioner, for Divisional Krida Sankul Samiti, Amravati (state level) for the samiti office; the applicant has not made submissions to show that the functions being undertaken by them are activities 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. 5.8.1.3 For Government Medical college and treatment hospital, Akola, the applicant is supplying staff for data entry operation, medical Technicians, dialysis attendants, assistants in operation theatre, Audiologist and speech therapist and clinical psychologist etc. Here too, the nature of the exact activities performed by the applicant's manpower is not forthcoming. However, a study of the 11^th and 12^th Schedule make it clear that supply of manpower as mentioned above, to Government Colleges and Hospitals, as institutions of Central/State/District/Local authorities are not covered under either of the two Schedules. 5.8.1.4 Finally the applicant also provides manpower for computer working to the Amravati ....