TMI Blog2021 (4) TMI 615X X X X Extracts X X X X X X X X Extracts X X X X ..... also published on the date of Notification in the Gazette of India. Further, an amendment in the Notification is prospective in nature, unless clearly specified to be clarificatory. Also the effective date of a Notification is always date of issue of Notification unless it is specified date of effect of the Notification. The Notification always came into effect from the date it was published in the Gazette of India and the subject Notification was issued in the Gazette of India on 25.01.2018 i.e. on the date it was issued. Therefore, Notification No. 01/2018-CT (Rate) dated 25.01.2018 is applicable/ came into effect prospectively and from the date of issue i.e. from 25.01.2018. The GST rate 12% prescribed under Sr. No. (ix) vide Notification No. 01/2018-CT (Rate) dated 25.01.2018 is effective from the date of issue of said Notification i.e. 25.01.2018. - GUJ/GAAR/R/06/2021 - - - Dated:- 20-1-2021 - SANJAY SAXENA AND MOHIT AGRAWAL, MEMBER Present for the applicant : Shri Jigar Shah M/s. Kunal Structure (India) Pvt. Ltd., 15th Floor, B-Wing, Mondeal Heights, Besides Novotel Hotel, S. G. Highway Ahmedabad-380015 is a private limited company registered under the provis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... services other than (i) and (ii) above. 9 - 5. The applicant further submitted that the above Notification was amended vide various Notifications introducing different categories of works contract service, for example service provided to the government authorities, service pertaining to construction of railways, low cost housing, service provided by a sub-contractor etc. with varying rates of GST for each category of service. Notification No. 11/2017-CT (Rate) dated 28.06.2017 amended vide Notification No. 01/2018-CT (Rate) dated 25.01.2018 and same is reproduced hereunder: (ix) Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a sub-contractor to the main contractor providing services specified in item (iii) or item (vi) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. 6 Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted to M/s. HITES by the Central Govt. and the applicant has provided services in the capacity of a sub-contractor to them. 8. Accordingly, the applicant sought the Advance Ruling on the following question : Whether the Service of Work Contract provided by the Applicant as sub-contractor are taxable at the rate of 12% for the period prior to 25.01.2018 when Notification No. 11/2017-CT (Rate) dated 28.06.2017 was amended by Notification No. 01/2018-CT (Rate) dated 25.01.2018. APPLICANT S INTERPRETATION OF LAW AND/OR FACTS 9.1 The applicant submitted that in order to file an application in relation to supply of goods or services before the Authority of Advance Ruling, the Applicant must satisfy the conditions prescribed under the Integrated Goods and Services Tax Act, 2017 (hereinafter referred to as IGST Act ), Central Goods and Services Tax Act, 2017 (hereinafter referred to as CGST Act ) and Gujarat Goods and Services Tax Act, 2017 (hereinafter referred to as GGST Act ). 9.2 The applicant stated that Section 95 to 106 of the CGST Act, 2017 enunciated under Chapter XVII cover Advance Ruling and its appeals. The definitions and questions on which advance ruli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce ruling is sought under this Act, shall be in respect of, (a) classification of any goods or services or both; (b) applicability of a notification issued under the provisions of this Act; (c) determination of time and value of supply of goods or services or both; (d) admissibility of input tax credit of tax paid or deemed to have been paid; (e) determination of the liability to pay tax on any goods or services or both; (f) whether applicant is required to be registered; (g) whether any particular thing done by the applicant with respect to any goods or services or both amounts to or results in a supply of goods or services or both, within the meaning of that term 9.4 From the aforementioned provisions of the CGST Act and GGST Act relating to Advance Ruling, it can be concluded that in respect of determination of applicability of a notification issued under the provisions of the Act, an Applicant is eligible to seek an advance ruling. Further, submitted that they are seeking Ruling regarding the rate of GST as prescribed under Not. No. 11/2017-CT (Rate) dated 28.06.2017 as amended. 9.5 It is therefore submitted that in the present ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the GGST Act. 14. The facts of the case is that M/s. HLL Infra Tech Service (HITES) Ltd. which is a Govt. of India Enterprise and executive Agency of Ministry of Health Welfare, Govt. of India, New Delhi had floated a tender for the construction of Deendayal Upadhyay Govt. Medical College, Rajkot under the Pradhan Mantri Swasthya Suraksha Yojna, Phase-III (PMSSY-III). Accordingly, the applicant had entered into a contract for construction of Deendayal Upadhyay Govt. Medical College, Rajkot with M/s. HLL Infra Tech Service (HITES) Ltd. 15. The applicant was granted the Letter of Award on 08.06.2016 for construction of Deendayal Upadhyay Govt. Medical College, Rajkot. The applicant submitted that scope of work included construction of multi storied building including water supply, sanitary and plumbing, comprehensive Fire Fighting/ Protection System, Internal External Electrification, HVAC works, Lifts, WTP, STP, ETP, CCTV and Security System, Solar Panel, PA System, EPABX/ Communication Syste ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (ii) Composite supply of works contracts as defined in Clause (119) of Section 2 of Central Goods and Services Tax Act, 2017. 9 - (iii) Construction services other than (i) and (ii) above. 9 - 19. Serial No. 3 of Notification No. 11/2017 was amended by Notification No. 20/2017-Central Tax (Rate), dated 22-8-2017 and new entries at Serial No. 3(iii), 3(iv), 3(v) and 3(vi) were inserted. Thereafter, again Not. No. 11/2017-CT (Rate) was amended and new entry No. (vi) was inserted vide Notification No. 24/2017-CT (Rate) dated 21.09.2017. Serial No. 3 (vi) of the Notification No. 11/2017 after amendment vide Notification dated 21.09.2017 read as under: (3) (4) (5) (vi) Services provided to the Central Government, State Government, Union Territory, a local authority or a governmental authority by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of (a. a civil structure or any other ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contractor providing services specified in item (vii) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. 2.5 Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a work entrusted to it by the Central Government, State Government, Union territory or local authority, as the case may be. 21. The said entries at Serial No. 3(ix) and 3(x) pertained to works contract services provided by the sub-contractor to the main contractors who were in turn providing services to Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. The new entries at Serial No. 3(ix) and 3(x) inserted vide Notification dated 25-1-2018 prescribed GST rate for sub-contractor services pertaining only to the services provided by the main contractor to the Governments/Government entity which were covered in Serial No. 3(iii), Serial No. 3(vi) and Serial No. 3(vii) of the principal rate Notification No. 11/2017. 22. The entry at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed on the date of Notification in the Gazette of India. Further, an amendment in the Notification is prospective in nature, unless clearly specified to be clarificatory. Also the effective date of a Notification is always date of issue of Notification unless it is specified date of effect of the Notification. The Notification always came into effect from the date it was published in the Gazette of India and the subject Notification was issued in the Gazette of India on 25.01.2018 i.e. on the date it was issued. Therefore, Notification No. 01/2018-CT (Rate) dated 25.01.2018 is applicable/ came into effect prospectively and from the date of issue i.e. from 25.01.2018. 24. In the case of M/s. Jindal Industries Vs. Union of India reported in 2002 (145) ELT 508 (Del) has held that, Notification to take effect from date of publication in Official Gazette . 25. In view of the above we hold that the GST rate 12% prescribed under Sr. No. (ix) vide Notification No. 01/2018-CT (Rate) dated 25.01.2018 is effective from the date of issue of said Notification i.e. 25.01.2018. 26. In view of the foregoing, we rule as follows : RULING Q. Whether the Service of Work Cont ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
