TMI Blog2020 (1) TMI 1007X X X X Extracts X X X X X X X X Extracts X X X X ..... or any other original works under PMAY is exempted from GST. The services of pure labour contract supplied by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of a civil structure or any other original works under PMAY is exempted from GST vide Entry 10 of the Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended). - RAJ/AAR/2019-20/28 - - - Dated:- 18-12-2019 - J.P. MEENA AND HEMANT JAIN MEMBER Present for the applicant: Shri P.C. Sharma, C.A. Shri B.S. Naruka, C.A. (Authorised Representatives) Note : Under Section 100 of the CGST/RGST Act, 2017, an appeal against this ruling lies before the Appellate Authority for Ad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... construct 270 flats under affordable housing scheme under Pradhan mantra Awas Yojana (including material and labour). Party A further sublets the work to Party B (M/s. Banna Ram Choudhary) to construct above 270 flats under a separate work contract (including material and labour). Party B further entered in a sub-contract with Party C (the applicant) for Pure labour Service in said project. Scope of work of the applicant will be only Chunai and Plaster Work only The applicant will have all the control over labour and responsible for their dues and other concerns. Generally, government does the contract of housing development project including material and labour and not merely for Pure Labour Service . Main contractor fur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the PH, they reiterated the submissions already made in the application. No additional submissions were presented in PH. They requested for early disposal of the application. 4. COMMENTS OF THE JURISDICTIONAL OFFICER The jurisdictional officer (Assistant Commissioner, State Tax, Circle-I, Jaipur Zone-III, Zonal Kar Bhavan, Jhalana Doongri, Jaipur, Rajasthan 302004) has submitted his comments vide letter dated 04.11.2019 which can be summarized as under: As directed application has been examined with reference notification No. 12/2017 dated 28-26-2017 of Central tax rate 1. Party B M/s. Banna Ram Chaudhary has entered into sub contract with Party C M/S SRS Enterprises for pure labour services in a project for construction ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ractual obligation to a sub-contractor the contract remains the same and the identity of a contract doesn t change also when the contractor awards either wholly or partially the work to the subcontractor the work to be performed by the contractor as well as subcontractor remains same and identical to what is specify in the contract between the main contractor and the employer. From Above discussion Prima Facie it appears that Sub contract made by contractor does not change the basic nature of nature of original contract with the employer therefore it appears that exemption available by way of above notification of intra-state supply of services under PMAY should be available to sub-contractor i.e. the applicant. 5. FINDINGS, ANAL ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r contract services has been exempted vide Entry 10 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended). The relevant portion of the said notification is as below- Sl. No. Chapter, Section, Heading, Group or Service Code (Tariff) Description of Services Rate (per cent.) Condition (1) (2) (3) (4) (5) 10 Heading 9954 Services provided by way of pure labour contracts of construction, erection, commissioning, installation, completion, fitting out, repair, mainte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rvices for the construction of a civil structure or any other original works under PMAY is exempted from GST. Therefore, we find that the services of pure labour contract supplied by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of a civil structure or any other original works under PMAY is exempted from GST vide Entry 10 of the Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended). 6. In view of the foregoing, we rule as follows: - RULING The services provided by way of pure labour contract supplied by the applicant for the construction of flats under Pradhan Mantri Awas Yojana (PMAY) is covered under Entry 10 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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