Classification of service- The present application has been filed by M/s. Auto cluster development and research institute, the applicant, seeking an advance ruling in respect of the following questions-

1. Whether PCSCL is termed as Government or Local Authority of Government Authority or Governmental Entity as per GST Law

2. Whether PCSCL is eligible to take claim benefits of Government or Local Authority of Governmental Authority or Governmental Entity (eg. Exemption as per Notification 12/2017-Central Tax (Rate) dated 28/06/2017)

3. Whether Renting of immovable Property Services provided to PCSCL exempt as per GST Law. If taxable then at what rate GST will be applicable.

4. Whether Utility charges recovered from PCSCL are exempt as per GST Law. If taxable then at what rate GST will be applicable

5. Whether PCSCL liable to deduct tax at source (GST TDS as per provisions of GST Law)?

in the instant case, it is clearly seen that even though the pure service (renting of immovable property services) is provided to PCSCL, a Government Entity, the said service, per se, cannot be considered as an activity in relation to any function entrusted to a Municipality under Article 243W of the Constitution, or entrusted to a Panchayat under Article 243G of the Constitution because the activity of renting of immovable property does not find mention in either Article 243G or Article 243W of the Constitution.

TDS provision are made operative with effect from 01.10.2018 for which Notification No. 50/2018- Central Tax dated 13.09.2018 has already been issued in this regard by CBIC. In view of the above, PCSCL is liable to deduct TDS in the subject case, in respect of payments made to the applicant against receipt of renting of immovable property services.

Held that- Renting of immovable Property Services provided to PCSCL exempt as per GST Law.