Page 158 - GSTL_16th July 2020_Vol. 38_Part 3

396 GST LAW TIMES [ Vol. 38
The subject application filed for advance ruling is rejected, as being non-
maintainable as per the provisions of the GST Act, 2017 and Rules made
thereunder.

_______

2020 (38) G.S.T.L. 396 (A.A.R. - GST - Guj.)

BEFORE THE AUTHORITY FOR ADVANCE RULING UNDER GST,
GUJARAT
S/Shri Mohit Agrawal and Sanjay Saxena, Members
IN RE : SHREE HARI ENGINEERS & CONTRACTORS

Advance Ruling No. GUJ/GAAR/R/2020/16, dated 19-5-2020
in Application No. Advance Ruling/SGST&CGST/2018/AR/29
Construction service or Original Work to Government Authority -
Tender awarded by Railtel Corporation of India for excavation of trenches and
laying of OFC (Optical Fiber Cable) through ducts, testing, commissioning of
OFC for purpose of connecting with Gram Panchayat for socio-economic de-
velopment - Contracts executed by applicant covered under definition of
“works contract” involving erection, commissioning and installation of
equipment or structures - However, work carried out by applicant not function
covered under list of functions entrusted to a Municipality under Article 243W
of Constitution of India or list of functions entrusted to a Panchayat under
Article 243G ibid - Applicant executing work for Railtel Corporation of India
Ltd. on behalf of Bharat Broadband Network Ltd., a Government of India un-
dertaking with 90 per cent or more participation by way of equity or control -
In agreement between applicant and Corporation no mention regarding Tri-
partite Memorandum of Understanding signed between Department of Tele-
communications of Government of India, Government of Gujarat and Bharat
Broadband Network Ltd. and no reference therein from which to infer that
work had been entrusted to them by any Government, Union Territory or a
local authority - Therefore, Railtel Corporation of India Ltd. not to fall under
category of ‘Government Authority’ as work not function entrusted by Central
Government, State Government, Union Territory or a local authority - It could
not be construed that OFC laid underground were meant predominantly for
use other than for commerce, industry, or any other business or profession as
stated by the applicant - Resultant structure underground in form of OFC due
to work executed by applicant could be used for commerce, industry, or any
other business or profession - Conditions envisaged in Serial No. 3(vi) of Noti-
fication No. 24/2017-C.T. (Rate) not satisfied as construction service of original
work to Government Authority - Sections 2(17) and 2(119) of Central Goods
and Services Tax Act, 2017. - Eligibility for tax @ 12% in terms of Entry No. 3(vi) of
Notification No. 11/2017-C.T. (Rate), as amended from time to time, is subject to the
following conditions : (i) It must be a composite supply of works contract as defined in
Section 2(119) of Central Goods and Services Tax Act, 2017; (ii) The contract should be
by way of construction, erection, commissioning, installation, completion, fitting out,
repair, maintenance, renovation or alteration of civil structure or any other original
works; (iii) It must be provided to the Central Government, State Government, Union
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