Grant-in-aid treated as consideration, with research services held taxable and exemption claims under local-body functions denied.
Case-Laws
GST
Grant-in-aid from CCRAS was treated as consideration because the payments were linked to approved proposals, deliverables, reporting, audits and specified research work, and the subsidy exclusion for Government grants did not extend by implication. The appellant and CCRAS were separate legal persons, so the research work constituted supply between distinct taxable persons in the course of business, and the appellant was not a pure agent. Exemption under Entries 3 and 3A was denied because the services were research and documentation for a central research body, not functions entrusted to Panchayat or Municipality bodies. The work was classified as taxable research and development services under Heading 9981, and the appeal was rejected.
TMI Updates – Highlights, quick notes, marquee, annotation, news, alerts <\/p>\n
= = = = = = = =<\/p>\n