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Services of the renting out of immovable properties provided by the Appellant to the Social Justice Department of the Government of Maharashtra will be exempt from the levy of GST in terms of SI. No. 3 of the Notification No. 12/2017-C.T. (Rate) dated 28.06.2017, and accordingly, the TDS provisions made under section 51 of the CGST Act, 2017, will not be applicable therein.

Classification of service— The present appeal has been filed by the appellant against the Advance Ruling pronounced by the Maharashtra Authority for Advance Ruling.

The Appellant is unregistered, and is engaged in providing the services of renting out of immovable property, situated at Nashik, and is in the receipt of rental income.

The Appellant is one of the co-owners of the immovable property, which are jointly owned by five individuals. All the five co-owners, including the Appellant, hold proportionate share in the property vide three separate agreements. The property is let out to Social Welfare Department (“Samaj Kalyan Vibhag”), Nashik Division of Maharashtra Government.

The total rental received exceeds the threshold provided under section 22(1) of the GST Act, but the share of each of the five co-owners does not cross the said threshold limit.

it has been held that the services provided by the Appellant to Social Welfare Department is not exempt from GST and TDS provisions under section 51 of the CGST Act, 2017, will be applicable in this case.

In advance ruling order, it has been held that the services provided by the Appellant to Social Welfare Department is not exempt from GST and TDS provisions under section 51 of the CGST Act, 2017, will be applicable in this case.

the moot issue before us. is as to whether the subject activity of renting out cf immovable properties to the Social Welfare Department of Maharashtra Govt. for residential accommodation of girls from the. backward class/Scheduled Tribes would amount to be in relation to any function entrusted upon the panchayat under Article 243G of the Constitution or any function entrusted upon the municipality under Article 243W of the Constitution.

Held that— This authority set aside the Advance Ruling order passed by the MAAR, and hold that the impugned services of the renting out of immovable properties provided by the Appellant to the Social Justice Department of the Government of Maharashtra will be exempt from the levy of GST in terms of SI. No. 3 of the Notification No. 12/2017-C.T. (Rate) dated 28.06.2017, and accordingly, the TDS provisions made under section 51 of the CGST Act, 2017, will not be applicable therein. Thus, the Appeal filed by the Appellant is, hereby, allowed.

Services of the renting out of immovable properties provided by the Appellant to the Social Justice Department of the Government of Maharashtra will be exempt from the levy of GST in terms of SI. No. 3 of the Notification No. 12/2017-C.T. (Rate) dated 28.06.2017, and accordingly, the TDS provisions made under section 51 of the CGST Act, 2017, will not be applicable therein.

Classification of service— The present appeal has been filed by the appellant against the Advance Ruling pronounced by the Maharashtra Authority for Advance Ruling.

The Appellant is unregistered, and is engaged in providing the services of renting out of immovable property, situated at Nashik, and is in the receipt of rental income.

The total rental received exceeds the threshold provided under section 22(1) of the GST Act, but the share of each of the five co-owners does not cross the said threshold limit.