Chapter 25

Services provided in relation to pubic services


Effective date:

(1st July, 2012)

Scope of Exempt Service

Services provided to Government, a local authority or a governmental authority by way of –

(a)  carrying out any activity in relation to any function ordinarily entrusted to a municipality in relation to water supply, public health, sanitation conservancy, solid waste management or slum improvement and upgradation; or

(b)  repair or maintenance of a vessel or an aircraft


Meaning & Definitions:

governmental authority” means a board, or an authority or any other body established with 90% or more participation by way of equity or control by Government and set up by an Act of the Parliament or a State Legislature to carry out any function entrusted to a municipality under article 243W of the Constitution;

local authority” means-

(a)        a Panchayat as referred to in clause (d) of article 243 of the Constitution;

(b)        a Municipality as referred to in clause (e) of article 243P of the Constitution;

(c)         a Municipal Committee and a District Board, legally entitled to, or entrusted by the Government with, the control or management of a municipal or local fund;

(d)        a Cantonment Board as defined in section 3 of the Cantonments Act, 2006; (41 of 2006.)

(e)        a regional council or a district council constituted under the Sixth Schedule to the Constitution;

(f)          a development board constituted under article 371 of the Constitution; or

(g)        a regional council constituted under article 371A of the Constitution;


(See Notification no. 25/2012 dated 20.06.2012, effective from 01.07.2012)