Case Details: Gorantla Geosynthetics Ltd., In re - [2026] 185 taxmann.com 482 (AAR-TAMILNADU)
Judiciary and Counsel Details
- C. Thiyagarajan & B. Suseel Kumar, Member
Facts of the Case
The applicant, a GST-registered waste management service provider, was engaged by the Goa Waste Management Corporation to remediate legacy waste. The scope of work included excavation of legacy waste, screening through trommels, segregation into RDF, compost, grit and inert materials, and scientific disposal of the segregated fractions, including co-processing of RDF in cement plants in compliance with Solid Waste Management Rules, 2016 and CPCB guidelines. The applicant sought advance ruling on the classification of the said activity and also on whether the services qualify for exemption under GST as services provided to a governmental authority in relation to municipal functions. The matter was accordingly placed before the Authority for Advance Ruling (AAR).
AAR Held
The AAR held that the activity of site remediation, bio-mining and waste treatment-disposal undertaken by the applicant is classifiable under Heading 9994 of the scheme of classification of services under Notification No. 11/2017-Central Tax (Rate), dated 28-06-2017, attracting GST at 18%. It was observed that the entire composite activity constitutes site remediation and waste treatment services falling under SAC 999441 and 999432/999433, and involves no supply of goods, thereby qualifying as pure services. However, the Authority further held that, since Goa Waste Management Corporation qualifies as a governmental authority and the services are rendered in relation to functions entrusted to a Municipality under Article 243W of the Constitution, they are eligible for exemption under Sl. No. 3 of the said notification. Accordingly, the Authority ruled in favour of the assessee, holding that the services were exempt under GST.
List of Cases Referred to
- Zigma Global Environ Solutions (P.) Ltd., In re [2020] 121 taxmann.com 275/43 GSTL 96 (AAR – Tamilnadu) (para 3.3)
- Gorantla Geosynthetics (P.) Ltd., In re [2024] 160 taxmann.com 258 (AAR – Tamilnadu) (para 3.4).
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