IN RE: M\/s. SIR J.J. COLLEGE OF ARCHITECTURE CONSULTANCY CELL
GST
2018 (12) TMI 894 – AUTHORITY FOR ADVANCE RULING, MAHARASHTRA – 2019 (21) G. S. T. L. 198 (A. A. R. – GST)
AUTHORITY FOR ADVANCE RULING, MAHARASHTRA – AAR
Dated:- 12-10-2018
GST-ARA-54\/2018-19\/B-128
GST
SHRI B.V. BORHADE, AND SHRI PANKAJ KUMAR, MEMBER
\nPROCEEDINGS
\n(Under section 98 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017)
\nThe present application has been filed under section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as “the CGST Act and Act”] by SIR J.J. COLLEGE OF ARCHITECTURE CONSULTANCY CELL, the applicant, seeking an advance ruling in respect of the following issue:
\nWhether applicant shall charge GST on the consultancy services rendered to Municipal Corporation of Greater Mumbai (MCGM) for an upcoming project of establishment & development of texti<\/p>\n
= = = = = = = =<\/p>\n
Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n . = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n nment authority. The relevant entry is reproduced as below – Pure Service (excluding works contract service or other composite supplies involving supply of any goods) provided to central government, state government or union authority or local authority or a government authority by way of any activity in relation to any function entrusted to panchayat under article 243G of the constitution or in relation to any function entrusted to a municipality under article 243W of the constitution. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n of M\/S. Sir. J.J. College of Architecture Consultancy Cell as under = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n h. Shrikant Biwalkar, State Tax Officer (C-602), Nodal division – 1, Mumbai appeared and stated that they have already made submissions. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n ing works contract service or other composite supplies involving supply of any goods) provided to the Central Government, State Government or Union Territory or local authority or a Governmental authority by way of any activity in relation to any function entrusted to a Panchayat under Article 243G of the Constitution or in relation to any function entrusted to a Municipality under Article 243W of the Constitution = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n Municipalities, subject to such conditions as may be specified therein, with respect to- = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n 17-CT(Rate) dated 28.06.2018, we first of all examine the exact nature of services being provided by the applicant to MCGM. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n t, we are constrained to find that the services being provided by the applicant to MCGM are in the nature of Works Contract Services and therefore they would in no way be eligible for exemption under Sr. No. 3 of Notification No. 12\/2017-CT (Rate) dated 28.06.2018, in respect of pure services. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n","protected":false},"excerpt":{"rendered":" IN RE: M\/s. SIR J.J. COLLEGE OF ARCHITECTURE CONSULTANCY CELLGST2018 (12) TMI 894 – AUTHORITY FOR ADVANCE RULING, MAHARASHTRA – 2019 (21) G. S. T. L. 198 (A. A. R. – GST)AUTHORITY FOR ADVANCE RULING, MAHARASHTRA – AARDated:- 12-10-2018GST-ARA-54\/2018-19\/B-128 GSTSHRI B.V. BORHADE, AND SHRI PANKAJ KUMAR, MEMBER PROCEEDINGS (Under section 98 of the Central Goods … Continue reading “IN RE: M\/s. SIR J.J. COLLEGE OF ARCHITECTURE CONSULTANCY CELL”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-15549","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/15549","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15549"}],"version-history":[{"count":0,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/15549\/revisions"}],"wp:attachment":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15549"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15549"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15549"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
For full text:-Visit the Source <\/a><\/p>\n
\nb. JJ provides services to only to Government bodies, State corporations and PSUs in relation to comprehensive architecture services that include project design, structural design, MEP design, drawings, study reports, etc.
\nc. Currently, JJ has entered into an agreement with Municipal Corporation of Greater Mumbai (MCGM) for an upcoming project of establishment & development of 'textile Museum' in Mumbai where JJ has to provide comprehensive Architecture service and project management service that includes architecture service and MEP design, reviewing tender document for inviting contractors, site supervision and certifying bills of contractors paid by MCGM. This project involves heritage restoration and adoptive reuse of various structures such as Textile Museum, Library bldg., back office for support staff, shopping area which would be leased out to various state government authorities for showcase of textiles, Auditorium, underground parking, Public Plaza – Landscape area, etc<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\nb. This entry provides exemption from payment of taxes on pure services (excluding works contract service or other composite supplies involving supply of any goods) provided to central government, state government or union authority or local authority or a government authority by way of any activity in relation to any function entrusted to panchayat under article 243G of the constitution or in relation to any function entrusted to a municipality under article 243W of the constitution.
\nc. In order to<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\nQuestion : Whether applicant shall charge GST on the consultancy services rendered to Municipal Corporation of Greater Mumbai (MCGM) for an upcoming project of establishment and development of Textile museum in Mumbai.
\nReply: YES
\nComments: Exemption provided as per notification no. 12\/2017- Central tax rate dt. 28-06-2017 -exemption provided for pure Services (excluding Works Contract service or other Composite supplies involving supply of any goods) provided to the Central government, State Government or Union Territory or Local authority or a Government authority by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution.
\nAgreement made between J.J. College of Architecture Consultancy cell and Municipal Corporation of Greater Mumbai (MCGM) is under Article 63\/ <\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\n05. OBSERVATIONS
\nWe have gone through the facts of the case, written and oral submissions as made by the applicant as well as the concerned officer and the applicable legal provisions of the case.
\nWe find that the applicant, Sir J. J, College of Architecture is an institution of repute, located in Mumbai.
\nWe find that the Architecture Consultancy Cell of the applicant college has entered in to an agreement with the Municipal Corporation of Greater Mumbai (MCGM) to provide comprehensive architecture service and project management service that includes architecture service and MEP design, reviewing tender documents for inviting contractors, site supervision and certifying bills of contractors, paid by MCGM in respect of an upcoming project of establishment and Development of a 'Textile Museum' in Mumbai. The project involves heritage restoration an<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\nNIL
\nNIL
\nIn continuation to the above, we also find that the applicant in their ARA have stated that Establishment and Development of a museum and recreation ground is not considered as a function entrusted to a Municipality under Article 243 of the Constitution. Since Establishment and Development of a museum and recreation ground is not a function listed in in the 12th Schedule to be read with Article 243 of the Constitution, the applicant has stated that in their view JJ is required to charge GST on consultancy services rendered to MCGM for the above project work, under <\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\n (i) the preparation of plans for economic development and social justice;
\n (ii) the performance of functions and the implementation of schemes as may be entrusted to them including those in relation to the matters listed in the Twelfth Schedule;
\n(b) the Committees with such powers and authority as may be necessary to enable them to carry out the responsibilities conferred upon them including those in relation to the matters listed in the Twelfth Schedule.
\nWe further find that the Twelfth Schedule (Article 243W of the Constitution (Seventy-Fourth Amendment) Act, 1992) reads as under:
\n1. Urban planning including town planning.
\n2. Planning of land- use and construction of buildings.
\n3. Planning for economic and social development.
\n4. Roads and bridges.
\n5. Water supply for domestic, industrial and commercial purposes.
\n6. Public health, sanitation conservancy and solid waste management<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\nWe find that the applicant in their submissions have details of the activities to be undertaken by them as under:-
\n“Currently, JJ has entered into an agreement with Municipal Corporation of Greater Mumbai (MCGM) for an upcoming project of establishment & development of 'textile Museum' in Mumbai where JJ has to provide comprehensive Architecture service and project management service that includes architecture service and MEP design, reviewing tender document for inviting contractors, site supervision and certifying bills of contractors paid by MCGM. This project involves heritage restoration and adoptive reuse of various structures such as Textile Museum, Library bldg., back office for support staff, shopping area which would be leased out to various state government authorities for showcase of textiles, Auditorium, underground parking, Public Plaza – Landscape<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\nIn view of submissions made by the jurisdictional officer and registration of agreement between the applicant and MCGM as works Contract Agreement as per advice of MCGM and as a result themselves stating that of the services provided by the applicant to be of the nature of Works Contract Services, we do not find the need to go into their other agreements in respect of claims of exemption under Sr.No. 3 of Notification No. 12\/2017-CT(Rate) dated 28.06.2018, as pure services.
\n05. In view of the extensive deliberations as held hereinabove, we pass an order as follows :
\nORDER
\n(Under section 98 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017)
\nN<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n