2023 (8) TMI 1409

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....h Ms Ayushi Bansal, Mr. Vikrant Chawla, Ms Arshya Singh and Mr. Aakash Dahiya, Advs for R-8 & R-9. ORDER 1. This writ petition was filed in the era when there were three Municipal Corporations in Delhi, i.e., North Delhi Municipal Corporation (NDMC), East Delhi Municipal Corporation (EDMC), and South Delhi Municipal Corporation (SDMC). 2. As of now a unified Municipal Corporation, i.e., Municipal Corporation of Delhi (MCD) is in place. 3. The issue which arises for consideration is: whether MCD should be called upon to reimburse the Goods and Services Tax [in short, "GST"] paid by the petitioners under the Central Goods and Services Tax Act, 2017 [in short, "CGST Tax"] and Delhi Goods and Services Tax Act, 2017 [in short, "DGST ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ued, which adverted to the fact that even where service of composite nature was rendered, the rate of tax would be nil, provided that the value of goods supplied was not more than 25% of the total invoice value. 12. As indicated above, it is the petitioners' case that the goods supplied by them were ordinarily more than 25% of the invoice value and wherever the value of goods supplied fell below that percentage, GST was not paid and hence is not claimed. 13. As regards this issue, i.e., reimbursement of GST by MCD, the petitioner and MCD have exchanged correspondence since 2017. 14. The first letter in this behalf was issued by the petitioner No. 1 on 06.07.2017. 15. The then NDMC responded to this communication via letter ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....spares. In this case, the scope of the service involves maintenance work and supply of goods, which falls under the works contract services. The exemption is provided to services involves only supply of services and not for works contract services." [Emphasis is ours] 19. Therefore, the moot question which arises is: whether the petitioner ought to be reimbursed by the MCD the service tax which they have paid, at the rate prevalent during the relevant period. 20. We may note that during the period commencing from 01.07.2017 and up until 20.09.2017, the petitioners appear to have paid CGST at the rate of 9% and likewise have paid DGST at the rate of 9%, pursuant to notification No. 11/2017-Central Tax (Rate) dated 28.06.2....