The applicant is incorrect in classifying the manpower services provided to the organisations/ institutions as exempted services since the same is not provided by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution.
Classification of service- In the instant case, applicant is engaged in the business of providing manpower supply to various government and non-governmental organisations.
The applicant has sought advance ruling in respect of the following questions:
1. Whether the applicant is correct in classifying the services provided to the Government entities as exempted services?
2. Whether the applicant is correct in claiming exemption under Sl.No.3 of Notification 12/2017 dated 28th June 2017 for the said exempted services?
The applicant is providing manpower services like security guards, housekeeping staff and catering staff. But these manpower services are not provided by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution. Hence provision of such manpower services are liable to tax at 18%.
Held that- The applicant is incorrect in claiming exemption under Sl.No.3 of Notification 12/2017 dated 28th June 2017 for the said services, since the services provided by the applicant are not covered under the said entry and therefore are not exempted.
The applicant is incorrect in classifying the manpower services provided to the organisations/ institutions as exempted services since the same is not provided by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution.
Classification of service- In the instant case, applicant is engaged in the business of providing manpower supply to various government and non-governmental organisations.
The applicant has sought advance ruling in respect of the following questions:
1. Whether the applicant is correct in classifying the services provided to the Government entities as exempted services?
2. Whether the applicant is correct in claiming exemption under Sl.No.3 of Notification 12/2017 dated 28th June 2017 for the said exempted services?
The applicant is providing manpower services like security guards, housekeeping staff and catering staff. But these manpower services are not provided by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution. Hence provision of such manpower services are liable to tax at 18%.
Held that- The applicant is incorrect in claiming exemption under Sl.No.3 of Notification 12/2017 dated 28th June 2017 for the said services, since the services provided by the applicant are not covered under the said entry and therefore are not exempted.