2025(08)LCX0321

Nepra Resource Management Pvt. Ltd

Versus

State Of Gujarat

SPECIAL LEAVE PETITION (CIVIL) Diary No(s). 30566/2025 decided on 04-08-2025

SUPREME COURT OF INDIA
RECORD OF PROCEEDINGS

SPECIAL LEAVE PETITION (CIVIL) Diary No(s). 30566/2025

[Arising out of impugned final judgment and order dated 24-04-2024 in SCA No. 17719/2021 03-01-2025 in MCA (for review) No. 1267/2024 passed by the High Court of Gujarat at Ahmedabad]

M/S NEPRA RESOURCES MANAGEMENT PVT. LTD.         Petitioner(s)

VERSUS

STATE OF GUJARAT & ORS.                                                 Respondent(s)

FOR ADMISSION and I.R.
IA No. 151950/2025 - CONDONATION OF DELAY IN FILING

Date : 04-08-2025 This matter was called on for hearing today.

CORAM :

HON'BLE MR. JUSTICE MANOJ MISRA
HON'BLE MR. JUSTICE UJJAL BHUYAN

For Petitioner(s) :
                            Mr. Nikhil Goel, Sr. Adv.
                            Mr. Malak Manish Bhatt, AOR
                            Mr. Kuntal Parikh, Adv.
                            Ms. Neeha Nagpal, Adv.
                            Ms. Samridhi, Adv.

For Respondent(s) :

UPON hearing the counsel the Court made the following
ORDER

1. Delay condoned.

2. The issue which arises for our consideration is whether the petitioner, who is a contractor, providing conservancy services to Notified Area Authority, Vapi would be exempted from Central Goods and Services Tax (CGST) in view of the notification dated 28.06.2017 (Annexure P-3).

3. The case of the petitioner is that the Notified Area Authority, Vapi is constituted under a notification under Section 16 of the Gujarat Industrial Development Act, 1962. Pure services (excluding works contract service or other composite supplies involving supply of any good) to the Central Government, State Government or Union Territory or local authority or a Governmental authority by way of any activity in relation to any function entrusted to a Panchayat under Article 243G of the Constitution of India or in relation to any function entrusted to Municipality under Article 243W of the Constitution of India are exempt under Notification dated 28.06.2017 issued under Section 11(1) of CGST Act, 2017 “Governmental authority”, as per Notification, means an authority or a Board or any other body (i) Set up by an Act of the Parliament or a State legislature; or (ii) established by any Government.

4. It is the submission of the petitioner that by virtue of the notification under Section 16 of the Gujarat Industrial Development Act, 1962, the Notified Industrial Area Authority, Vapi, would fall within the definition of “Governmental authority” and since its functions include those specified under Section 243W of the Constitution of India, conservency services provided to it would be exempted under the notification dated 28.06.2017.

5. Additionally, it is submitted, the Notified Industrial Area Authority, Vapi would also qualify as a local authority as defined in Section 2(69) of the CGST Act.

6. It is thus submitted that the High Court erred in relying upon a decision of this Court which was in the context of the provisions of the Income Tax Act.

7. The matter requires consideration. Issue notice, returnable in four weeks. Permission to serve the standing counsel representing the State of Gujarat in this Court is granted.