Notification No. 01/2018-Union Territory tax(rate), dt. 25-01-2018-Seeks to amend notification No. 11/2017- Union Territory Tax (Rate) so as to notify UTGST rates of various services as recommended by Goods and Services Tax Council in its 25th meeting held on 18.01.2018.

[TO BE PUBLISHED IN THE GAZZETE OF INDIA, EXTRAORDINARY, PART II, SECTION 3, SUB-SECTION (i)]

Government of India

Ministry of Finance

(Department of Revenue)

Notification No. 1/2018-Union Territory Tax (Rate)

New Delhi, the 25th January, 2018

G.S.R……(E).- In exercise of the powers conferred by sub-section (1) of section 7, subsection (1) of section 8 and clause (iv) and clause (v) of section 21 of the Union Territory Goods and Services Tax Act, 2017 (14 of 2017) read with sub-section (5) of section 15 and sub-section (1) of section 16 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council, and on being satisfied that it is
necessary in the public interest so to do, hereby makes the following further amendments in the notification of the Government of India, in the Ministry of Finance (Department of Revenue), No.11/2017- Union Territory Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 702(E), dated the 28th June, 2017, namely:-

In the said notification,

(I) for sub-item (c), the following sub-item shall be substituted, namely: –

A civil structure or any other original works pertaining to the “ln-situ redevelopment of existing slums using land as a resource, under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban).

(II) after sub-item (d), the following sub-items shall be inserted, namely: –

A civil structure or any other original works pertaining to the “Economically Weaker Section (EWS) houses” constructed under the Affordable Housing in partnership by State or Union Territory or local authority or urban development authority under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban).

A civil structure or any other original works pertaining to the “houses constructed or acquired under the Credit Linked Subsidy Scheme for Economically Weaker Section (EWS)/ Lower Income Group (LIG)/ Middle Income Group-1 (MlG-1)/ Middle Income Group-2 (MlG-2)” under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban).

 

(III) after sub-item (f), the following sub-items shall be inserted, namely: –

A building owned by an entity registered under section 12AA of the Income Tax Act, 1961 (43 of 1961), which is used for carrying out the activities of providing, centralised cooking or distribution, for mid-day meals under the mid-day meal scheme sponsored by the Central Government, State Government, Union territory or local authorities.

(I) in sub-item (a), for the word “excluding”, the word “including” shall be substituted;

(II) after sub-item (d), the following sub-item shall be inserted, namely: – “(da) low-cost houses up to a carpet area of 60 square metres per house in an affordable housing project which has been given infrastructure status vide notification of Government of India, in Ministry of Finance, Department of Economic Affairs vide F. No. 13/6/2009-INF, dated the 30th March, 2017.

Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a sub-contractor to the main contractor providing services specified in item (iii) or item (vi) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a work entrusted to it by the Central Government, State Government, Union territory or local authority, as the case may be Government Entity.

 

Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a sub-contractor to the main contractor providing services specified in item (vii) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a work entrusted to it by the Central Government, State Government,
Union territory or local authority, as the case may be.

Services by way of housekeeping, such as plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under subsection (1) of section 22 of the Central
Goods and Services Tax Act. Provided that credit of input tax charged on goods and services has not been taken
against “natural gas”, the words and brackets “natural gas, petroleum crude, motor spirit (commonly known as petrol), high speed diesel or aviation turbine fuel” shall be substituted.Provided that credit of input tax charged on goods (other than on ships, vessels including bulk carriers and tankers) has not been taken Rental services of transport vehicles with or without operators.

16 Heading 9972

(i) Services by the Central Government, State Government, Union territory or local authority to governmental authority or government entity, by way of lease of land Nil.

(ii) Supply of land or undivided share of land by way of lease or sub lease where such supply is a part of composite supply of construction of flats, etc.  Provided that nothing contained in this entry shall apply to an amount charged for such lease and sub-lease in excess of one third of the total amount charged for the said composite supply. Total amount shall have the same meaning for the purpose of this proviso as given in paragraph 2 of this notification Nil.

 

Time charter of vessels for transport of goods. Provided that credit of input tax charged on goods (other than on ships, vessels including bulk carriers and tankers) has not been taken above.

Same rate of Union territory tax as applicable on supply of like goods involving transfer of title in goods. Other than the input tax credit of input service in the same line of business (i.e. tour operator service procured from another tour operator)” shall be inserted;

(ii) Services by way of house-keeping, such as plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under sub-section (1) of section 22 of the Central Goods and Services Tax Act, 2017. Provided that credit of input tax charged on goods.

(i) Services by way of fumigation in a warehouse of agricultural produce.

(ii) Service of exploration, mining or drilling of petroleum crude or natural gas or both.

(iii) Support services to mining, electricity, gas and water distribution.

25 Heading  9987 plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under sub-section (1) of section 22 of the Central Goods and Services Tax Act,
2017.

Manufacture of leather goods or footwear falling under Chapter 42 or 64 in the First Schedule to the Customs Tariff Act, 1975 (51of 1975) respectively.

32 Heading 9994

(i) Services by way of treatment of effluents by a Common Effluent Treatment Plant.

(ii) Sewage and waste collection, treatment and disposal and other environmental protection services.

(iii) Services by way of admission to amusement parks including 9 theme parks, water parks, joy rides, merry-go rounds, go-carting and ballet.

(iiia) Services by way of admission to entertainment events or access to amusement facilities including exhibition of cinematograph films, casinos, race club, any sporting event such as Indian Premier League and the like.

(ii) for paragraph 2, the following shall be substituted, namely: –

“2. Involving transfer of land or undivided share of land, as the case may be, the value of such supply shall be equivalent to the total amount charged for such supply less the value of transfer of land or undivided share of land, as the case may be, and the value of such transfer of land or undivided share of land, as the case may be, in such supply shall be deemed to be one third of the total amount charged for such supply.

Explanation. –For the purposes of this paragraph, “total amount” means the sum total of,-

(a) consideration charged for aforesaid service; and

(b) amount charged for transfer of land or undivided share of land, as the case may be including by way of lease/sublease.

Note: – The principal notification was published in the Gazette of India, Extraordinary, vide notification No. 11/2017 – Union Territory Tax(Rate), dated the 28thJune, 2017, vide number G.S.R. 702 (E), dated the 28th June, 2017 and was last amended by notification No. 46/2017- Union Territory Tax (Rate), dated the 14th November, 2017 vide number G.S.R. 1409(E), dated the 14th November, 2017.

[F. No.354/13/2018-TRU]
(Ruchi Bisht)
Under Secretary to the Government of India