Advance Ruling— Section 98 of CGST Act— The applicant stated that they are a premier society registered under Societies Act, providing services of infrastructure, urban development, monitoring and evaluation studies as consultants; they are registered under CGST / KGST Act 2017; they have provided service to Karnataka Urban Infrastructure Development Finance Corporation Ltd., (KUIDFC).
The applicant has sought advance ruling in respect of the following questions:
a) Whether KUIFDC, which is an intermediary agency between ULBs/Town Municipal Councils functioning as Programme Management Unit (PMU) through the divisional offices, implementing agencies of the Local Government Bodies and State Line Departments in the efficient monitoring of sub-programmes, is eligible for claiming exemption from GST under the conditions of exemption as per Notification No.12/2017 as pure services, for the period of our services provided to them i.e. July 2017 to June 2019.
b) The services provided by STEM (the applicant), our office, as Supervision and Programme Management Consultants for NKUSIP programme of KUIFDC from July 2017 to June 2019 by the virtue of PMC works undertaken by our office (viz: Supervision and monitoring of Water supply to households, underground drainage network, water treatment plants, sewage treatment plants with respect to quality control procedures and quality control of the works done by the contractor, assisting in resolving specific technical and other implementation related issues at the field level, investigate particular construction problems or delays that have been reported from the site and recommended actions to be taken to resolve the problems or overcome the delays. Also, analyse and allocate/ apportion delays attributable to implementing agency, contractor etc and suggest remedial as well as penal action, assist in interpreting and applying the various legal provisions of the contract documents, and in amicably resolving disputes, detailed contract management and web based progress monitoring, resource mobilization for each contract monitoring and reporting physical and financial monitoring and reporting the same to KUIFDC) comes under pure services as specified under GST Act and if the same is exempted from applicability of GST for supplying our services to KUIFDC.
The applicant provided consultancy services to KUIDFC for the program called NKUSIP, involving supervision and programme management consultancy for the PMC works undertaken in divisions of Bellary and Gulbarga. Accordingly, the applicant entered into an agreement dated 26.07.2017 and completed the project during 2019. The instant application was filed on 08.11.2022, after completion of the said project in 2019, as the applicant intends to seek clarity as to whether services rendered to KUIDFC are exempted from GST or not. In the instant case the maintainability of the application needs to be examined.
In the instant case the questions, on which the applicant seeks advance ruling, are not in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the said applicant, but in relation to a completed supply, provided by them. Therefore the instant application is beyond the jurisdiction of this authority and hence is liable for rejection.
Held that— The application filed by the Applicant for advance ruling is rejected, in terms of Section 98(2) of the CGST Act 2017.