Page 202 - GSTL_6th August 2020_Vol 39_Part 1

128 GST LAW TIMES [ Vol. 39
be to find out whether services rendered by them are in relation to any function
entrusted to a Municipality under Article 243W of the Constitution.
5.9 We find that the Services are provided by the applicant are in rela-
tion to Urban planning including town planning and Planning of land-use and
construction of buildings in as much as all the said activities help the local au-
thorities to do Town Planning, Urban Planning & Control the Land use by the
general public. We find that the Services supplied by them are covered under
Article 243W of the Constitution, as functions entrusted to Municipality. Hence
the provisions as per Sl. No. 3 of the Notification No. 12/2017-Central Tax (Rate),
dated 28-6-2017 as amended applies in their case and therefore, the Subject Ser-
vices being Pure Services, provided by the applicant to the various Municipal
Corporations and Councils are in relation to afore said functions entrusted to the
said local authority and exempt from GST.
5.10 We have no doubt that the services provided by the applicant to
the various Municipal Corporation & Councils are actually aiding and helping
the said Municipal Corporation & Councils to perform the functions entrusted to
them under Article 243W of the Constitution.
5.11 In view of the above, we observe that the applicant is rendering
Pure Services to various Municipal Corporation & Councils and the said Pure
Services are rendered in relation to the functions entrusted to the said Municipal
Corporation & Councils under Article 243W of the Constitution.
5.12 It is clearly seen from a reading of Sl. No. 3 of Notification No.
12/2017-Central Tax (Rate), dated 28-6-2017, that exemption is extended to “Pure
services……provided to……or local authority……by way of any activity in relation to
any function entrusted to a…….Municipality under Article 243W of the Constitution.”
5.13 In the subject case the applicant is providing pure services (with-
out the supply of goods), to the various Municipal Corporation & Councils. We
find that the said services are in relation to any functions entrusted to a Municipality
under Article 243W of the Constitution. Hence we find that the applicant is entitled
to the benefit of Notification No. 12/2017-C.T. (Rate), dated 28-6-2017.
6. In view of the extensive deliberations as held hereinabove, we pass
an order as follows :
ORDER
7. For reasons as discussed in the body of the order, the questions are
answered thus -
Question-1 :- Whether the services provided by the Applicant are cov-
ered under Clause 1 & 2 of Twelfth Schedule of Article
243W?
Answer :- Answered in the affirmative.
Question-2 :- Whether the services provided by the applicant fall under
the Exemption Notification No. 12/2017, dated 28th June,
2017 (Entry No. 3 of Exemption Notification) as amended
from time to time as the services are in the nature of pure
labour services.
Answer :- Answered in the affirmative.

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GST LAW TIMES  6th August 2020  202