Municipal Onion Market Leasing Deemed Public Function Exempt from GST Under Constitutional Municipal Powers

Municipal Onion Market Leasing Deemed Public Function Exempt from GST Under Constitutional Municipal PowersCase-LawsGSTAAR determined that leasing 19 onion mandis to a contractor for daily fee collection constitutes a municipal function under Article 243W

Municipal Onion Market Leasing Deemed Public Function Exempt from GST Under Constitutional Municipal Powers
Case-Laws
GST
AAR determined that leasing 19 onion mandis to a contractor for daily fee collection constitutes a municipal function under Article 243W of the Constitution. The activity is exempt from GST as it falls within the scope of local authority's public functions. The transaction between the municipality and contractor is considered an inseparable public service activity, not a commercial supply of goods or services. The notification No. 14/2017-CT(Rate) applies, rendering the entire transaction outside the taxable domain. The key consideration was the functional nexus with constitutional municipal responsibilities, rather than the administrative mechanism of service delivery.
TMI Updates – Highlights, quick notes, marquee, annotation, news, alerts

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =