Page 127 - GSTL_23rd April 2020_Vol 35_Part 4

2020 ] IN RE : WATER HEALTH INDIA PVT. LTD. 453
GST at “NIL” rate. Therefore, it is clarified that supply of drinking water for pub-
lic purposes, if it is not supplied in a sealed container, is exempt from GST.”
6.5 On perusal of the aforesaid Circular, applicant submitted that ex-
emption under Sl. No. 99 of the Notification has been clarified to be applicable if
the following conditions are fulfilled :-
(i) Supply should be of drinking water;
(ii) Supply should be for a public purpose; and
(iii) Supply of drinking water should not be in sealed container.
6.6 In support of this applicant submitted that they have entered into
an agreement with Municipalities and Panchayats to purify raw water by remov-
ing all impurities making it fit enough to drink. This purified water is supplied to
general public in unsealed containers brought by the public themselves and
therefore does not pertain to supply of water in sealed containers and applicant
claims that they are exempted from GST.
Personal Hearing :
7. The applicant authorized Sri. Abhinav Srivastav, Advocate and duly
Authorised Representative, appeared for personal hearing proceedings before
this authority and made the submissions as narrated above.
Findings and Discussion :
8. At the outset we would like to make it clear that the provisions of
CGST Act, 2017 and SGST Act, 2017 are in pari materia and have the same provi-
sions in like matter and differ from each other only on a few specific provisions.
Therefore, unless a mention is particularly made to such dissimilar provisions, a
reference to the CGST Act would also mean reference to the corresponding simi-
lar provisions in the KGST Act.
9. We have considered the submissions made by the applicant in their
application for advance ruling as well as the submissions made by Sri. Abhinav
Srivastav Advocate and DAR during the personal hearing. We also considered
the issue involved, on which advance ruling is sought by the applicant, relevant
facts & the applicant’s interpretation of law.
10. On verification of the nature of the activity carried out by the appli-
cant it was observed that applicant has entered into an agreement with local pan-
chayats/municipalities to supply purified water to urban under-served people
across various metro cities by installing Community Water System, which is a
water treatment plant at economical price. In the process of water treatment, ap-
plicant pump the raw water from water sources like well/pond/bore
well/others and collected in the raw water tank. This raw water is then pumped
to CWS for removal of suspended solids, organic matter, chlorine, obnoxious
taste and smell. The purified water is further sent to Reverse Osmosis mem-
branes to remove total dissolved solids, bacteria and pathogens and then the
same is sent to purified water storage tank. This purified water is supplied to
general public in unsealed containers which are brought by the public them-
selves. Applicant charges Rs. 8/- or such amount as is reasonable for supply of
purified water in 20 litres cans.
11. With this in background applicant sought Advance Ruling on
“Whether supply of purified water to public in empty unsealed cans is exempt
under GST law”?
12. The applicant relied upon the Entry No. 99 of Notification No.
GST LAW TIMES  23rd April 2020  247