Date of Order: 25-06-2022

Key Pointers:

• The applicant, M/s. Structures India ANZ Project Management Services Pvt. Ltd, is engaged in supplying services of geotechnical investigation for civil works or infrastructure construction works, preparation of detailed project reports related to civil works/infrastructure construction works, architectural and engineering design for civil works/infrastructure works and project management services for civil works or infrastructure construction works.
• The question is whether the activity of geotechnical investigation and preparation of foundation recommendation (soil report preparation), preparation of detailed project report (DPR), architectural and engineering design and project management services for or in connection with civil works or infrastructure construction works come under the scope of service; i.e; pure services or works contract service.
• The authorities observed that that the services rendered by the applicant does not involve any supply of goods and they are pure services that fall under the different groups/service codes of Heading 9983 - Other professional, technical and business services and is liable to GST at the rate of 18% as per entry at SI No. 21 (ii) of Notification No. 11/2017 Central Tax (Rate) dated 28.06.2017.
• The authorities also observed that the services supplied by the applicant to Rebuild Kerala and Public Works Department are eligible for exemption as per the entry at Sl. No. 3 of Notification No. 12/2017 Central Tax (Rate) dated 28-06-2017 being pure services provided to State Government by way of any activity in relation to any function entrusted to a Panchayat or Municipality under Article 243 G or Article 243 W of the constitution.
• The above services provided by the applicant to MIS HLL Infratech Services Ltd are not eligible for exemption under entry at SI. NO.3 of Notification NO.12/2017 Central Tax (Rate) dated 28-06-2017.