The applicant namely Madhya Pradesh Vidyut Vitran Co. Ltd is engaged in the supply and distribution of electricity, and the electrification work in rural areas. The applicant availed the required services from the M/s Prime one WorkForce Pvt. Ltd. for the supply of unskilled, semi-skilled and skilled manpower required for various work having a direct relation with a distribution of electricity under the jurisdiction of Ujjain and Indore Commissionarate.
The applicant filed the application to the Authority of Advance Ruling (AAR) so as to know whether the provision of S. No. 3 of the table of Notification No. 12/17, Central Tax Rate on the service received by the applicant from the M/s Prime one WorkForce Pvt. Ltd., which is a pure service and does not include contract services or any other composite services pertaining to the supply of any goods and services are exempted services or not?
The Authority of Advance Ruling (AAR) comprising of Joint Commissioner, Manoj Kumar Choubey and Virendra Kumar Jain ruled that Madhya Pradesh Vidyut Vitran Co. Ltd is eligible for the exemption for the services received under Panchayat Unit. As the services were pure services and did not include contract services or any other composite services pertaining to the supply of any goods and services.
The Authority also stated that the exemption claimed by the applicant would only be applicable to the services received under the Panchayat Unit. This ruling is only valid provided that the provisions under Section 103(2) are valid until the exemption is declared void under Section 104(1) of the Goods and Service Tax (GST) Act.Subscribe Taxscan AdFree to view the Judgment