TMI Blog2019 (1) TMI 359X X X X Extracts X X X X X X X X Extracts X X X X ..... ents are carried out for business purpose and the benefit of Concessional Rate of 12% (6% under Central tax and 6% State tax) as per notification under is not available to the applicant on works pertaining to construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration, which are carried out in respect of projects under DDUGY, IPDS, ADB, SSTD, Saubhagya Yojna, FSP and all other schemes of governments as the same is undertaken for the business purpose - The composite supply of works contract as defined at Section 2 of CGST Act '2017 and MPGST Act, 2017 is treated as supply of service in terms of serial no.6, Schedule Il of CGST Act '2017 and MPGST Act, 2017. In the instant ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... plicant), registered under the Goods Services Tax. 2. The provisions of the CGST Act and MPGST Act are identical, except for certain provisions. Therefore, unless a specific mention of the dissimilar provision is made, a reference to the CGST Act would also mean a reference to the same provision under the MPGST Act. Further, henceforth, for the purposes of this Advance Ruling, a reference to such a similar provision under the CGST or MP GST Act would be mentioned as being under the GST Act. 3. BRIEF FACTS OF THE CASE- 3.1. M/S Madhya Pradesh Madhya Kshetra Vidyut Vitaran Company Limited (hereinafter referred to as the Applicant) is engaged in electrification work into the rural and urban areas and registered with GSTN with GS ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hya Kshetra Vidyut Vitaran Company Ltd. is wholly owned subsidiary of M.P. Power Management Co. Ltd., carried out function of distribution of Electricity in the area of Jabalpur, Sagar and Rewa Commissionerate as entrusted by the Government of Madhya Pradesh vide order no. 5555/RS/4/13/2001, Bhopal, Dated - 01/07/2002. 6.4 The Government of India, vide notification no. 11/2017-Central Tax (Rate), Dated - 28 th June 2017 notify the rate of GST applicable on supply of services. Under this notification for heading 9954 the applicable rate of GST is 9%. 6.5 The said notification has been amended time to time and till date 5 notifications is issued by the Government of India to amend for this purpose. The said amendment Notification i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... te Government, Union Territory, a local authority, a Governmental Authority or a Government Entity in place of Central Government, State Government, Union Territory, a local authority or a Governmental Authority Also, vide said notification the definition of Government entity is provided, which is reproduced as under - 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. 6.8 In view o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... licant had submitted the copy of Audited Annual Accounts of M/s. M.P. Power Management Co. Ltd. for F.Y. 2015-16, during the proceedings. It is evident from the schedule of Equity Share Capital of the Annual Statement that 100% share capital of ws M.P. Power Management Co. Ltd. is hold by Secretary (Energy), GOMP, Bhopal. 7.5. Thus, based on the above facts, it is concluded that the Government of Madhya Pradesh is having full control over the applicant M/S M.P. Madhya Kshetra Vidyut Vitran Co. Ltd. and the applicant is covered under the definition of Government Entity. 7.6. Now it is important to discuss the nature of work undertaken by the applicant. The Applicant is entrusted for various ambitious projects of Central and Stat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... distribution, supply and wheeling of electrical energy. 7.9. Thus, the projects under DDUGY, IPDS, ADB, SSTD, Saubhagya Yojna, FSP and all other schemes of governments are carried out for business purpose and the benefit of Concessional Rate of 12% (6% under Central tax and 6% State tax) as per notification under is not available to the applicant on works pertaining to construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration, which are carried out in respect of projects under DDUGY, IPDS, ADB, SSTD, Saubhagya Yojna, FSP and all other schemes of governments as the same is undertaken for the business purpose. Further, as per Section 2 of CGST Act '2017 and MPGST Act ..... X X X X Extracts X X X X X X X X Extracts X X X X
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