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2018 (9) TMI 1037 - AAR - GSTLevy of GST - landscaping and gardening work for government departments - pure services - Entry no. 3 of the Notification No. 12/ 2017 Central Tax (Rate) dated 28th June 2017 - Whether landscaping and gardening work for government departments like BBMP, KSRTC, etc, through works contract attracts GST from this society? Held that:- Since the scope of exemption allowed in the entry no. 3 of the Notification No. 12/ 2017 Central Tax (Rate) dated 28th June 2017 is only to the extent of pure services of provision of urban amenities and facilities such as parks, gardens, playgrounds to the Governments and Local Authorities and does not cover any activity where in transfer of property in goods is involved either in the form of a works contract or a composite supply. The activity done by the applicant is of the nature of “maintenance of parks” and hence the activities can be divided into two different types: (a) maintenance of parks not involving the transfer of property in goods And (b) maintenance of parks involving the transfer of property in goods. The first activity is of the nature of pure services and is squarely covered under the entry no. 3 of the Notification No. 12/ 2017 Central Tax (Rate) dated 28th June 2017, if it is provided to a Government or Local Authority and Governmental authority - The second activity falls in the ambit of works contract and hence is not covered under the entry no. 3 of the Notification No. 12/ 2017 Central Tax (Rate) dated 28th June 2017 even if it is provided to a Government or Local Authority and Governmental authority. The applicant are not covered under the entry no. 3 of the Notification No. 12/ 2017 Central Tax (Rate) dated 28th June 2017 and hence there is no question of answering the same. Ruling:- The service of maintenance of parks provided by the society to the State Government, Central Government or a Local Authority (including BBMP) or a Governmental Authority, not involving transfer of property in goods either as a component of a works contract or a composite supply is covered under entry no. 3 of the Notification No. 12/ 2017 Central Tax (Rate) dated 28th June 2017 and hence exempt. This exemption is not available if there is any transfer of property in goods or if the service is made to persons other than State Government, Central Government or a local Authority or a Governmental Authority.
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