In re Devendra k Patel (GST AAR Gujarat)
M/s. Devendra K Patel, registered under GST with GSTIN 24AZFPP1155R1ZX, engages in providing works contract services and engineering consultancy to various governmental agencies, including the R&B Department of the Government of Gujarat. The applicant sought an advance ruling to determine whether their services of preparing plans, estimates, and Draft Tender Papers (DTP) for building works for the R&B Department would be exempt from GST under the provisions relating to Panchayats and Municipalities as per Articles 243G and 243W of the Constitution of India.
Applicant’s Contentions
i. Nature of the Department and Services:
- The R&B Department, being a part of the Government of Gujarat, is responsible for planning, construction, and maintenance of roads and government buildings.
- The applicant provides services such as preparing plans, estimates, and DTP for building works for this department.
ii. Claim for Exemption:
- The applicant argued that their services fall under the scope of activities related to functions entrusted to Panchayats and Municipalities as per Articles 243G (Eleventh Schedule) and 243W (Twelfth Schedule) of the Constitution.
- They claimed their services qualify as “pure services,” which should be exempt from GST as per entry no. 3 of notification No. 12/2017-CT (R) dated 28.6.2017.
Support from Previous Rulings: The applicant cited several advance rulings in support of their claim, emphasizing the need for technical knowledge in preparing tender documents and the classification of their services as pure services.
Key Issues for Determination
i. Whether the applicant’s services of preparing plans, estimates, and DTP for building works for the R&B Department qualify as activities related to the functions entrusted to Panchayats and Municipalities.
