In re Security and Intelligence Services (India) Ltd. (GST AAR Maharastra)
We find that the applicant has been given the status of a Deemed University by the University Grants Commission. The UGC was formally established 1956 as a statutory body of the Government of India through an Act of Parliament for the coordination, determination and maintenance of standards of university education in India. Since the VNIT has been recognized by the UGC, this would imply that the courses conducted by the applicant are recognized by law. We find that the education provided by VNIT is a part of a curriculum for obtaining a qualification recognised by any law for the time being in force.
The provisio to Serial No. 66 of Notification No. 12/2017 mentioned above very clearly states that only services provided to an educational institution which provides services by way of pre-school education and education up to higher secondary school or equivalent, will be exempt. In the subject case the applicant is not providing services, as an educational institution, by way of pre-school education and education up to higher secondary school or equivalent. Hence Security services provided in the instant case will not be exempt from payment of GST.
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING MAHARASHTRA
The present application has been filed under section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as “the CGST Act and MGST Act”) by SECURITY AND INTELLIGENCE SERVICES (INDIA) LTD, the applicant, seeking an advance ruling in respect of the following questions.
1. Whether the services provided to Visvesvaraya National Institute of Technology, Nagpur will qualify for exemption under Serial No. 66 of Notification No. 12/2017 – Central Tax (Rate) dated 28th June 2017, considering it to be an educational Institution.
2. Whether rate of tax on services provided to Visvesvaraya National Institute of Technology, Nagpur (VNIT) is nil as per Serial no 3 of Notification No 12/2017-Central Tax (Rate) dated 28th June 2017.
At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to any dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provision under the MGST Act. Further to the earlier, henceforth for the purposes of this Advance Ruling, the expression `GST Act’ would mean CGST Act and MGST Act.
02. FACTS AND CONTENTION — AS PER THE APPLICANT
The submissions, as reproduced verbatim, could be seen thus-
A. Statement of relevant facts having a bearing on the question(s) raised.
Facts and Contentions
We Security and Intelligence Services (India) Ltd, (SIS) are providers of security services to various entities all over India and have different type of customers included educational bodies and higher educational Institutions like IITs etc. We are providing services to Visvesvaraya National Institute of Technology, Nagpur (VNIT).
VNIT as an institute was established in the year 1960 under the scheme sponsored by Govt. of India and Govt. of Maharashtra. The college was started in June, 1960 by amalgamating the State Govt. Engineering College functioning at Nagpur since July 1956. VNIT, Nagpur is one of the thirty National Institutes of Technology in the country. The Govt. of India conferred on the Institute, the Deemed University status (under University Grants Commission Act, 1956 with effect from 26th June, 2002. Subsequently, the Central Govt. by Act of Parliament (National Institutes of Technology Act, 2007) declared VNIT Nagpur as an Institute of National Importance along with all other NITs. The Act was brought into force from 15th August 2007. The institute awards bachelors, masters and doctoral degrees in engineering, technology & architecture. The institute runs nine Under-graduate & twenty one Post-graduate course apart from Ph. D programs in the field of engineering, architecture and science.
In view of the aforesaid, since VNIT has been conferred the Deemed University status and declared, an Institute of National Importance by an Act of Parliament, it would qualify as a Governmental authority.
Whereas Serial No. 66 of Notification No. 12/2017 inter alia provides for exemption in relation to certain service availed by educational institution as under:
