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TMI Blog2019 (9) TMI 1100X X X X Extracts X X X X X X X X Extracts X X X X ..... ngal Goods and Services Act, 2017, within a period of thirty days from the date of communication of this Ruling, or within such further time as mentioned in the proviso to Section 100 (2) of the GST Act. Every such appeal shall be filed in accordance with Section 100 (3) of the GST Act and the Rules prescribed thereunder, and the Regulations prescribed by the West Bengal Authority for Advance Ruling Regulations, 2018. 1. Admissibility of the Application 1.1 The Applicant has entered into contracts with the Government of Tamilnadu and the Government of Mizoram for providing services as a Financial Management Specialist and Institutional Development Specialist, respectively. He seeks a ruling on whether exemption in terms of Sl.No. 3 of No ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... minor irrigation and drainage structures. 2.2 The Applicant submits that the Government of Mizoram, Public Works Department, is implementing under the Regional Transport Connectivity Project (hereinafter R TCP) road sector modernisation and performance enhancement through institutional strengthening. It is part of the Road Sector Modernization Plan (hereinafter RSMP), which carries forward and deepens various institutional development initiatives in the road sector. The Applicant, as Institutional Development Specialist, handles implementation of the RSMP. 2.3 The Applicant argues that he is supplying services to the State Governments that involve no supply of goods. The services are in relation to such functions as irrigation, water man ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Notification. Under the previous service tax regime, the exemption was limited to certain functions specified in Sl No. 25(a) of the ST Notification, whereas, under the GST, the ambit has been broadened to include all such functions as entrusted to a Panchayat or a Municipality under the Constitution. 3.3 The example of ambulance service provided by a PSP also makes it clear that the service provider or the recipient need not be a Panchayat or a Municipality. While examining whether the ambulance service that the PSP provides is eligible for exemption under Sl No. 3 of the Exemption Notification, the Circular does not venture into who the service provider or the recipient is. It focuses on the nature of the service and whether it is an ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ds or services are being consumed. Therefore, questions regarding the applicability of Sl No. 3 of the Exemption Notification so far as the scope of the function entrusted to a Panchayat or a Municipality is concerned, should be addressed with reference to the enactments referred to above. 3.5 In light of the above discussion applicability of the provisions under Sl No. 3 of the Exemption Notification should be examined. 3.6 It appears from the copies of the contracts that the State Governments have directly contracted for the Applicant's service. 3.7 In terms of the scope of work under clause 5 of Appendix 2 to the contract with the Government of Tamilnadu the Applicant is required to support the Finance Officer of the Project Managemen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... improved flood risk management and up-gradation of irrigation infrastructure. Seven consultants, including the Applicant have been engaged for supporting the PMU in implementing the project. 3.11 Entry 3 of the Eleventh Schedule of the Constitution includes minor irrigation, water management and watershed development. The Applicant is, therefore, providing pure service to the State Government in relation to a project that involves functions listed under Entry 3 of the Eleventh Schedule. The Applicant's service to the Government of Tamilnadu is, therefore, eligible for exemption under Sl.No. 3 of the Exemption notification. 3.12 Annex A to the contract with the Government of Mizoram provides a brief outline of the project and the scope of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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