TMI Blog2019 (1) TMI 1490X X X X Extracts X X X X X X X X Extracts X X X X ..... xemption if it also qualifies as a service for public health sanitation, being an activity under Sl No. 7 (public health sanitation, conservancy and solid waste management) of the Twelfth Schedule to the Constitution. 'Sanitation and similar services’ are classified under SAC 99945. It includes sweeping and cleaning, but only with reference cleaning of a road or street. Sweeping of premises – public or residential – is not classified under ‘Sanitation or similar service’, Sweeping service that the Applicant supplies to the Housing Directorate cannot, therefore, be classified as an 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. Ruling:- Sweeping Service that the Applicant supplies to the Housing Directorate of the Government of West Bengal, cannot be classified as an 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. The exemption under Sl No. 3 or 3A, as the case may be, of N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ority. The Board is neither Government nor Local Authority, but a statutory body created by the West Bengal Housing Board Act, 1972. The above exemption is, therefore, not applicable for supplies to the Board. Furthermore, sweeping is a composite supply and exemption under Sl No. 3 of the Exemption Notification is not applicable to anything other than pure services. The submission of the concerned officer is based on what the Applicant discloses in the Application. The documents that he submits at the time of Hearing, however, clarifies that the supply is being made to the Housing Directorate of the Govt of West Bengal. The discussion about the Housing Board is, therefore, no longer relevant. The supply, being made to the Government of West Bengal, is eligible for exemption under Sl No. 3 or 3A of the Exemption Notification, provided it satisfies other conditions. Furthermore, even if sweeping service is a composite supply, it may still attract exemption under Sl No. 3A of the Exemption Notification. Therefore, the distinction between a pure service and a composite supply does not, in the present context, make any material difference in answering the question of the Applicant. 4 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lance service is being supplied in relation to any such activity. It simply focuses on the nature of the service itself (ie. The ambulance service) and examines whether its classification relates to an activity listed under the schedules referred to above. 5. It now needs to be examined whether the Applicant s supply of Sweeping Service comes under the ambit of the exemption under Sl. No. 3A of the Exemption Notification in terms of an activity in relation to any function entrusted to a Panchayat under Art 243G of the Constitution or to a Municipality under Art 243W of the Constitution. Article 243G of the Constitution discusses the powers, authority and responsibilities of Panchayats, stating that Subject to the provisions of this Constitution the Legislature of a State may, by law, endow the Panchayats with such powers and authority and may be necessary to enable them to function as institutions of self government ....... subject to such conditions as may be specified therein, with respect to .(b) the implementation of schemes for economic development and social justice as may be entrusted to them including those in relation to the matters listed in the Eleventh Schedule ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 28 Libraries 29 Poverty Alleviation Programmes Article 243W of the Constitution discusses the powers, authority and responsibilities of Municipalities, etc stating that Subject to the provisions of this Constitution, the Legislature of a State may, by law, endow, .b) the Committees with such powers and authority as may be necessary to enable them to carry out the responsibilities conferred upon them including those in relation to the matters listed in the Twelfth Schedule . List of 18 items covered under the Twelfth Schedule of the Indian Constitution are as follows; 1 Regulation of land use and construction of land buildings 2 Urban planning including the town planning 3 Planning for economic and social development 4 Urban poverty alleviation 5 Water supply for domestic, industrial and commercial purposes 6 Fire services 7 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cleaning of a road or street. Sweeping of premises public or residential is not classified under Sanitation or similar service , Sweeping service that the Applicant supplies to the Housing Directorate cannot, therefore, be classified as an 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. In view of the foregoing, we rule as under. RULING Sweeping Service that the Applicant supplies to the Housing Directorate of the Government of West Bengal, cannot be classified as an 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. The exemption under Sl No. 3 or 3A, as the case may be, of Notification No 12/2017-CT (Rate) dated 28.06.2017 and WB Govt Gazette Notification-1136-FT dated 28.06.2017 is not, therefore, applicable to such supplies. This ruling is valid subject to the provisions under Section 103 until and unless declared void under Section 104(1) of the GST Act. - - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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