TaxTMI 
TaxTMI 
TaxTMI 
2025 (10) TMI 783
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....ect of the applicant. 3. In terms of Section 103(2) of the Act, this advance ruling shall be binding unless the law, facts or circumstances supporting the original advance ruling have changed. 4. Advance Ruling obtained 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 CGST Act, 2017 and DGST Act, 2017 are pari-materia and have the' same provisions in like matter and differ from each other only on a few specific provisions. Therefore, unless a mention is particularly made to such dissimilar provisions, a reference to the CGST Act would also mean reference to the corresponding similar provisions in the DGST Act and vice-versa. This is an application under Sub-Section (1) of Section 97 of the CGST/DGST Act, 2017 filed by M/s Central Pollution Control Board/(CPCB) PARIVESH BHAWAN, EAST ARJUN NAGAR, DELHI, East Delhi, Delhi, 110032, having GSTIN 07AAALC0228L2ZD. The CPCB seek advance Ruling on the question: "Whether the CPCB (An autonomous body of the Ministry of Environment, Forest and Climate Change of Govt. of India) is liabl....
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....data relating to water and air pollution and the measures devised for their effective prevention, control or abatement; * Prepare manuals, codes and guidelines relating to treatment and disposal of sewage and trade effluents as well as for stack gas cleaning devices, stacks and ducts * Disseminate information in respect of matters relating to water and air pollution and their prevention and control; * Lay down, modify or annul, in consultation with the State Governments concerned, the standards for stream or well, and lay down standards for the quality of air; and * Perform such other function as may be prescribed by the Government of India. (d). The CPCB being a governmental authority working under the ministry of Environment, Forest and Climate Change of Government of India entrusted with various statutory functions such as: i) issuing various licences and/or granting consent/registration under: a. Water (Prevention and Control of Pollution) Act, 1974, b. Air (Prevention and Control of Pollution) Act, 1981; and c. Environment (Protection) Act, 1986 ii) Operating in-house labs for sample testing of water under a specific arrangement with Ministry of Jal Shakti (....
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....ory and supervisory obligations imposed by law. 3. Details of the question on which Advance Ruling requested: (a). The Central Pollution Control Board (CPCB) is a statutory body constituted by the Central Government under the provisions of Section 3 of the Water (Prevention and Control of Pollution) Act, 1974, and functions under the administrative control of the Ministry of Environment, Forest and Climate Change. As a public authority established by law, the CPCB discharges a wide range of statutory, regulatory, and sovereign functions in the field of environmental protection and pollution control. (b). Its mandate includes monitoring and controlling air and water pollution, implementation of various waste management rules, and granting Consent to Establish (CTE) and Consent to Operate (CTO) to industries under the applicable environmental regulations. The CPCB is also entrusted with the responsibility of advising the Central Government on matters concerning environmental quality, public health, and ecological sustainability. These functions are discharged in the public interest and in furtherance of the statutory objectives enshrined in the Water (Prevention and Control of Pol....
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....ral Pollution Control Board (CPCB) also qualifies as a "local authority" within the meaning of Section 2(69) of the Central Goods and Services Tax Act, 2017, based on the interpretative guidance provided by judicial and quasi-judicial forums. In particular, reference is drawn to the Ruling No. 08/2018-19 dated 11th September 2018 issued by the Authority for Advance Ruling (Uttarakhand), wherein it was held that the Uttarakhand Environment Protection and Pollution Control Board qualifies as a local authority under Section 2(69) of the CGST Act. The said ruling recognised that such boards are established by the government and are entrusted with functions falling under the Twelfth Schedule of the Constitution, particularly those relating to environmental protection and public health. (c). The activities undertaken by the CPCB are in direct discharge of its statutory, sovereign and/or regulatory obligations as a governmental authority established under law enacted the Parliament of India. These functions are closely aligned with those entrusted to Municipalities under Article 243W of the Constitution of India, read with the Twelfth Schedule. Specifically, Entry 8 of the Twelfth Schedu....
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.... Water (Prevention and Control of Pollution) Act, 1974. On a careful reading of the relevant part of the said enactment, it is noted that the Central Pollution Control Board (CPCB) has been constituted by the Central Government in exercise of the powers conferred under Section 3 of the Act. The said provision empowers the Central Government to constitute a Central Board for the prevention and control of water pollution, which shall be a body corporate having perpetual succession and a common seal, with powers to acquire, hold and dispose of property and to contract, and shall, by the said name, sue and be sued. * It is further observed that the CPCB has subsequently been entrusted with powers and functions under the Air (Prevention and Control of Pollution) Act, 1981 and the Environment (Protection) Act, 1986, thereby extending its jurisdiction and responsibilities. From the above, it is evident that CPCB is a statutory authority, discharging public functions of a regulatory and sovereign character under legislative mandate. Its constitution and functioning are derived wholly from statutory provisions enacted by Parliament. * The relevant part of the section 3 of the Water (Pre....
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.... Status/Position of the applicant under the GST Laws: (a). The terms 'Government Authority' & 'Government entity' were inserted by Notification No. 31/2017-Central Tax (Rate) dated 13.10.2017 (amendment in Notification No. 11/2017 dated 28.06.2017) as clauses (ix) & (x) of explanation in Para 4 which is as follows: * (ix) 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 any Government, with 90 percent or more participation by way of equity or control, to carry out any function entrusted to a Municipality under article 243 W of the Constitution or to a Panchayat under article 243 G of the Constitution. * (x) Government Entity means an authority or a 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. * As per Section 2(69) of GST Act, 2017, '....
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.... the performance of functions listed in the Twelfth Schedule. The Twelfth Schedule contains 18 functional items, several of which closely align with the statutory duties of CPCB. Notably, the following entries are of particular relevance: Entry 6: Public health, sanitation, conservancy, and solid waste management; Entry 8: Urban forestry, protection of the environment and promotion of ecological aspects. (iv). The CPCB is engaged in activities that directly fall within the scope of the above entries. These include: * Monitoring and control of air and water pollution across the country; * Enforcement of environmental standards and norms for emissions and effluents; * Granting Consent to Establish (CTE) and Consent to Operate (CTO) under environmental laws; * Implementation of hazardous and solid waste management rules; * Advising the Central Government on matters related to environmental quality and public health; * Formulation of environmental policies and technical guidelines for state and local bodies. These functions are not commercial in nature and are carried out in exercise of sovereign and regulatory authority conferred by central legislation. (v). The pro....
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....rchitecture of India's Goods and Services Tax (GST) regime. Issued under the authority granted by Section 11(1) of the CGST Act, 2017, this notification was framed to exempt certain categories of services from GST, in recognition of their public welfare character and constitutional significance. * The rationale behind this notification is deeply anchored in public interest, constitutional governance, and the broader policy objective of promoting social equity through tax relief on essential services. Its design reflects a conscious effort by the Government to ensure that core civic, educational, healthcare, and charitable services are not burdened by indirect taxation, especially when such services are rendered by or under the authority of the Government, local bodies, or registered non-profit organizations. * Among the most significant entries in this notification is Entry No. 4, which exempts "services by a Governmental Authority by way of any activity in relation to any function entrusted to a municipality under Article 243W of the Constitution." This entry directly links the GST exemption to the constitutional scheme of local self-governance established under the 74th C....
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....ities established or controlled by the Government, are not subject to GST. This reflects a recognition of the constitutional mandate and public interest inherent in such services. These activities are carried out not for commercial gain but as part of the Government's obligation to ensure basic civic amenities and governance. * Entry No. 4 of the said notification is thus intended to relieve essential public services from the burden of indirect taxation, thereby preventing the cascading of tax on services that are mandatory in nature and performed in furtherance of the constitutional responsibilities assigned to municipalities. The provision reinforces the policy objective of supporting decentralized governance and protecting public welfare functions from unintended tax implications. (vii). As a result of the analysis of the constitution of the Central Pollution Control Board (CPCB), its legal status under GST laws qualifies it as a "Governmental Authority"/Local Authority in terms of the Notification No. 31/2017-Central Tax (Rate) dated 13.10.2017 (amendment in Notification No. 11/2017 dated 28.06.2017 and Section 2(69), of CGST Act, 2017. Further, it is clarified through E....