Home Case Index All Cases GST GST + AAR GST - 2019 (10) TMI AAR This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (10) TMI 752 - AAR - GSTClassification of goods/services - rate of GST - activity of sub-contract for earthwork in relation to construction of access controlled Nagpur-Mumbai Super Communication Expressway (Maharashtra Samruddhi Mahamarg) - HELD THAT:- Earthwork involves the removal of topsoil, along with any vegetation, before scraping and grading the area to the finished 'formation level'. This is usually done using a tractor shovel, grader or bulldozer. Below the formation level, the soil is known as the 'subgrade'. Most earthworks are formed by cut-andfill, and the type of 'fill' material must be considered, not only in terms of its physical properties, but on the conditions in which it is to be used, and the methods of compaction - Thus the activity to be carried out by the applicant is restricted to Earth Work only. The supply made by the applicant is a supply of construction service for Earth Work and related work and is of independent nature, and cannot be categorised as construction of road as classified under Entry number 3(iv) of the Notification No 11/2017-CT (Rate) dated 28.6.2017 (as amended). The activity carried out by the applicant does not involve supply of goods whatsoever in any manner and it's supply of services for Earth Work and other related works. Thus the said activity does not fall under either Composite Supply or Mixed Supply - as there is no involvement of transfer of property in goods in the above said activity; it cannot be classified under Works Contract Services also. The rate of GST on the work of earthwork will be 18%.
|