TMI Blog2020 (12) TMI 189X X X X Extracts X X X X X X X X Extracts X X X X ..... drains and open areas, cutting and pruning of tree including removal of undergrowth and foliage on drain and roads, and lifting of dead animals. The applicant performs waste disposal activities by engaging garbage lifting vehicles and other cleaning equipment. There is, however, no reference to any supply of goods in the course of executing the work. The vehicles used and the fuel consumed and the machinery used do not result in any transfer of property in goods to the recipient. Based on the above documents, it may, therefore, be concluded that the applicant s supply to the recipient is a pure service. Furthermore, Article 243W of the Constitution that discusses the powers, authority and responsibilities of a municipality, refers to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Ruling Regulations, 2018. 1. Admissibility of the Application 1.1 The Applicant is stated to be providing conservancy service to the (i) Station Commander, Bagrakot Military Station, (ii) Office of Chief Medical Superintendent N.F. Railway, Alipurduar Junction and (iii) Sukna Military Station. The applicant seeks a ruling on whether the above supply is exempted in terms of Sl No. 3 or 3A of Notification No. 12/2017 Central Tax (Rate) dated 28/06/2017 (corresponding State Notification No. 1136 FT dated 28/06/2017), as amended from time to time (hereinafter collectively referred to as Exemption Notification). 1.2 The question is admissible under section 97(2)(b) of the GST Act. The concerned officer from the revenue has not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant places three contract agreements (i) Work Order of Binnaguri Military Station (ii) Pedong Military Station (iii) Narang Military Station. Though in the application in GST ARA 01[ Point no 14] applicant don t seek ruling for Binnaguri, Pedong and Narang Military Station. Observations and findings of the Bench 3.1 In its Circular No. 51/25/2018-GST dated 31/07/2018 the Central Government clarifies that the service tax exemption at serial No. 25(a) of Notification No. 25/2012 dated 20/06/2012 (hereinafter the ST Notification) has been substantially, although not in the same form, continued under GST vide Sl No. 3 and 3A of the Exemption Notification. Sl No. 25(a) of the ST notification under the service ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r 3A of the Exemption Notification, provided it is either a pure service or a composite supply, where the supply of goods does not constitute more than 25% of the value. 3.3 The Applicant s eligibility under Sl No. 3 or 3A of the Exemption Notification should, therefore, be examined from three aspects: (1) whether the supply being made is pure service or a composite supply, where the supply of goods does not exceed more than 25% of the value of the supply, (2) whether the recipient is government, local authority, governmental authority or a government entity, and (3) whether the supply is being made in relation to any function entrusted to a panchayat or a municipality under the Constitution, as clarified in the above par ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... welfth Schedule. 3.7 The Applicant s supply to Bagrakote and Sukna Military Stations, therefore, is exempt under Sl No. 3 of the Exemption Notification. As no agreement is available regarding supplies to the Railways, this authority offers no comment thereon. Based on the above discussion, we rule as under, RULING The applicant s supply to Bagrakot Military Station and Sukna Military Station, as described in para 3.5, is exempt from the payment of GST under Sl No. 3 of Notification No. 12/2017 - Central Tax (Rate) dated 28/06/2017 (corresponding State Notification No. 1136 FT dated 28/06/2017), as amended from time to time. This ruling is valid subject to the provisions under Section 103 until and unless declared void u ..... X X X X Extracts X X X X X X X X Extracts X X X X
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