TaxTMI 
TaxTMI 
2025 (4) TMI 417
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....ained by the applicant by fraud or suppression of material facts or misrepresentation of facts, shall render such ruling to be void ab initio in accordance with Section 104 of the Act. 5. The provisions of both the Central Goods and Services Tax Act and the Tamil Nadu Goods and Services Tax Act (hereinafter referred to as the 'Act') are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the Central Goods and Services Tax Act would also mean a reference to the same provisions under the Tamil Nadu Goods and Services Tax Act. M/s. Quality Property Management Services Private Limited, located at 3rd floor, No 86, Sudharsan Building, Pasumpon Muthuramalinga Thevar Salai, Chennai - 600018 (hereinafter called as 'the Applicant') are registered under the GST Acts with GSTIN 33AAACQ4758N1Z1. The applicant is engaged in Facility Management Services business which includes provision of Mechanised and Manual Housekeeping, Security and other support services to various Government and Private Sector Establishments. The applicant has reportedly been awarded the contract to provide Comprehensi....
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....als under the control of Directorate of Medical & Rural Health Services (DM&RHS), Tamil Nadu. • Entry No.3 of Notification 12/2017 dated 28.06.2017 exempts 'Pure Services' provided to the Central Government, State Government or Union territory or local authority or a Governmental authority or a Government Entity 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. • Entry No.3A of Notification 12/2017 dated 28.06.2017 exempts 'Composite supply' of goods and services in which the value of supply of goods constitutes not more than 25 per cent. of the value of the said composite supply provided to the Central Government, State Government or Union territory or local authority or a Governmental authority or a Government Entity 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. • Sl.No.23 of the Eleventh Schedule un....
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....umables are less than 5% to 6% of the total cost of the taxable value and hence contended that the applicant is eligible for claiming exemption provided under Entry No.3/3A of Notification No. 12/2017-CT (Rate) dated 28.06.2017, amended by Notification No. 02/2018 as the activity of the applicant would fall under the functions entrusted and listed under Article 243G/243W of the Constitution. DISCUSSION AND FINDINGS 5.1 We have carefully considered the submissions made by the Applicant in their application, copies of the relevant documents furnished by them, the submissions made during the personal hearing, and the comments furnished by the jurisdictional tax officers. 5.2 From the submissions made at the time of filing the application, it is seen that the applicant had sought an advance ruling, on the following question, viz., "Our services to 54 hospitals under the control of DM&RHS are exempted supplies as per Notification 12/2017 (as amended) or not?" We observe that the aforesaid question gets covered under 97 (2) (b) of the CGST Act, 2017, that reads as "applicability of a notification issued under the provisions of this Act", and accordingly, the said app....
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....s and amounts for ensuring provisions of all services, as per agreed deliverables at the contract." 5.6 From the above, we find that the applicant is engaged in the supply of 'Manpower services' in relation to housekeeping, Security and other support services to various Government hospitals coming under the charge of DM&RMS. In this regard, we find that the applicant is of the opinion that issue in question get covered under entry No.3 of Notification No. 12/2017-CT (Rate) dated 28.06.2017, as amended, which is reproduced as below :- Sl.No. Chapter heading Description of Services Rate (per cent) Condition (1) (2) (3) (4) (5) 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 Governmental authority or a Government entity 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 From the above, we come ....
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....ation No.2/2018-CT (Rate) dated 25.01.2018, gets attracted, as the said entry discusses about 'composite supplies' of goods as well as services. The said entry No.3A is reproduced as below :- (1) (2) (3) (4) (5) 3A Chapter 99 Composite supply of goods and services in which the value of supply of goods constitutes not more than 25 per cent. of the value of the said composite supply provided to the Central Government, State Government or Union territory or local authority or a Governmental authority or a Government Entity 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 In this regard, we take note of the fact that the contract entered into by the applicant includes provision of consumables and equipment necessary for providing housekeeping services which constitutes only 5 to 6 percent of the total billing done to DM&RHS, as stated by the applicant in the application for advance ruling filed by them. The said fact was also reiterated by the AR (Authorised Representative) o....
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....e the instant case. Accordingly, we are of the opinion that Entry No.3A of the exemption notification does not apply to the instant case and the prospects of application, if any, of Entry No.3 of the exemption notification is to be examined further in the instant case. 5.10 Moving on to the second criteria, i.e., "Whether the said services are provided to the Central Government, State Government or Union territory or local authority or a Governmental authority or a Government entity?", we find that under the Health and Family Welfare Department' of the Government of Tamil Nadu, the 'Directorate of Medical and Rural Health Services', is listed as one of the Health Directorates, as seen through the webpage 'https://tnhealth.tn.gov.in'. In this regard, we find that the term 'Governmental Authority', has been defined under the explanation to Section 2 (16) of the IGST Act, 2017, which is reproduced as under :- "Explanation.- For the purposes of this clause, the expression "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 an....
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....aterways and other means of communication. 14. Rural electrification, including distribution of electricity. 15. Non-conventional energy sources. 16. Poverty alleviation programme. 17. Education, including primary and secondary schools 18. Technical training and vocational education. 19. Adult and non-formal education. 20. Libraries. 21. Cultural activities. 22. Markets and fairs. 23. Health and sanitation, including hospitals, primary health centres and dispensaries. 24. Family welfare. 25. Women and child development. 26. Social welfare, including welfare of the handicapped and mentally retarded. 27. Welfare of the weaker sections, and in particular, of the Scheduled Castes and the Scheduled Tribes. 28. Public distribution system. 29. Maintenance of community assets. And the functions entrusted to the Municipality under Article 243W of the Constitution, are as listed below :- 1. Urban planning including town planning. 2. Regulation of land-use and construction of buildings. 3. Planning for economic and social....