Page 90 - GSTL_23rd April 2020_Vol 35_Part 4

416 GST LAW TIMES [ Vol. 35
2020 (35) G.S.T.L. 416 (A.A.R. - GST - W.B.)

BEFORE THE AUTHORITY FOR ADVANCE RULING UNDER GST,
WEST BENGAL
Ms. Susmita Bhattacharya, Member (CGST) and Shri Parthasarathi Dey,
Member (SGST)
IN RE : NEWTOWN KOLKATA DEVELOPMENT AUTHORITY
Order No. 42/WBAAR/2019-20, dated 6-3-2020 in Case No. 47/2019
Local Authority under GST law - New Kolkata Development Authori-
ty (NKDA), whether a local authority - Exemption admissibility - Said authori-
ty established by Statute enacted by State Government for providing planned
development in New Town, Kolkata, and matters connected therewith or inci-
dental thereto - Functions entrusted to said authority, inter alia, include mak-
ing arrangements, constructing and maintaining utilities like water supply,
sewer and drainage, public streets, bridges, flyovers, etc., and other functions
which are squarely listed in Twelfth Schedule and entrusted to a Municipality
under Article 243W of Constitution of India - In addition, said authority is ful-
ly under control of State Government inasmuch as its Chairman and Members
are appointed/removed at will of State Government which also provides sub-
sidy for its funding under State Treasury Rules - Clearly, it is a body discharg-
ing municipal functions, although not a municipality - Accordingly, it is cov-
ered under ‘other authority’ in definition of Local Authority under GST law -
In view of above, exemption from GST is admissible in respect of services
supplied by it - Section 2(69)(c) of Central Goods and Services Tax Act, 2017.
[paras 4.4, 4.5, 4.6, 4.7, 4.8, 4.9, 4.10]
Ruling in favour of assessee
CASES CITED
Agarwal v. Hindusthan Steel — (1970) AIR 1150 (SC) — Referred ................................................. [Para 3.1]
Agricultural Produce Market Committee Narela — (2008) 9 SCC 434 — Referred ...................... [Para 4.3]
R.C. Jain — (1981) 2 SCC 308 — Referred ..................................................................................... [Paras 3.1, 4.3]
Urban Improvement Trust — C.A. No. 10577 of 2018,
decided on 12-10-2018 by Supreme Court — Referred ........................................................... [Para 4.3]
REPRESENTED BY : S/Shri Navin Kumar Agarwal, Chartered Account-
ant, Avra Mazumder and Bhargav Mitra, Advocates,
for the Assessee.
[Order]. - Admissibility of the Application :
1.1 The Applicant, New Town Kolkata Development Authority (here-
inafter called NKDA), seeks a ruling whether the services it supplies are exempt
under Notification No. 12/2017-Central Tax (Rate), dated 28-6-2017 (correspond-
ing State Notification No. 1136-FT, dated 28-6-2017) as amended time to time
(hereinafter collectively called the Exemption Notification) and whether it is lia-
ble to be registered. The question is admissible under Section 97(2)(b) & (f) of the
GST Act.
1.2 The concerned officer from the Revenue submits that question
raised in the application is not pending or decided in any proceedings of the GST
Act. As such, he does not object to the admissibility of the application. The appli-
cation is, therefore, admitted.

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