GST @12% APPLICABLE ON CIVIL WORKS FOR DRAVYAVATI RIVER PROJECT-TATA PROJECTS ADVANCE RULING

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GST @12% APPLICABLE ON CIVIL WORKS FOR DRAVYAVATI RIVER PROJECT-TATA PROJECTS ADVANCE RULING

RAJASTHAN AUTHORITY FOR ADVANCE RULING

GOODS AND SERVICES TAX

Before the Bench of:

1. Nitin Wapa, Member (Central Tax)

2. Sudhir Sharma, Member (State Tax)

Case Title :- Tata Projects Limited

(GST AAR RAJASTHAN)

Advance Ruling No. RAJ/AAR/2018-19/01

Date of Judgement/Order- 27th April 2018

IMPORTANT PARAGRAPHS

Para No. 5. Applicant’s Questions(s) on which Advance Ruling is sought:

(i) The nature of Services whether covered under Sl.no.3(vi)(a) of notification no.11/2017 – Central Tax (Rate) dt.28th June 2017 amended with notification no.24/2017Central Tax (Rate) dated 21.09.2017 and further amended with notification no.31/2017-Central Tax (Rate) dated 13.10.2017?

(ii) What is the Rate of GST applicable for the Project?

(iii) lf applicable rate of GST @12%, what is the rate of GST applicable on subcontractor leg?

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Para No. 7. The issue involved in this case is, whether Jaipur Development Authority is covered under the status of Government Authority/ Entity or not? and the nature of Services provided under the contract are covered under Sl.no.3(vi)(a) of notification no. 1 1/2017 Central Tax (Rate) dt.28dl June 2017 amended with notification no.24/2017-Central Tax (Rate) dated 21.09.2017 and further amended with notification no. 31/2017-Central Tax (Rate) dated 13.10.2017 or not? What is the GST rate applicable on subcontractor leg ?

RULING 

Para No. 9. In view of the foregoing, we rule as under:-

The Services provided by M/S TPL — SUCG Consortium to Jaipur Development Authority under Contract awarded to them vide their LOA No. JDA/EE-07/2016/D-662 dated: 04.03.2016 are covered under Notification no. 11/2017 – Central Tax (Rate) dt.28th June 2017 (Notification no. (56)FD/Tax/2017-Pt-1-49(S.T.) dt.(lt. 29th June 2017), amended with Notification no.24/2017-Central Tax (Rate) dt. 21st Sept. 2017 (Notification no. F.12(56)FD/Tax/2017-90(S.T.) dt. 21st Sept. 2017) and further amended vide Notification no. 31/2017 — Central Tax (Rate) dt. 13 th Oct. 2017 ( Notification no. F.12(56)FD/Tax/2017-Pt-111-106(S.T.) dt. 13th Oct. 2017 ) and GST @12% (i.e. CGST 6% + SGST 6%) is applicable on the services provided under the said contract. This rate is also applicable to the sub-contractor leg under the said contract as inserted in the Notification no. 01/2018 dt. 25th January 2018 ( Notification no. F.12(56)FD/Tax/2017-Pt-11-166(S.T.) (lt. 25th January 2018).

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