GST Meaning of Government, Local Authority ,Governmental Authority and Governmental Entity:

By | January 21, 2019
(Last Updated On: January 21, 2019)

Meaning of Government,
Local Authority ,Governmental Authority and Governmental Entity:

Government: Government as defined in CGST Act and respective SGST Acts means Central Government and respective State governments.
As per article 53 of the Constitution the executive power of the Union shall be vested in the President and shall be exercised by him either directly or indirectly through officers subordinate to him in accordance with the Constitution. Further, in terms of Article 77 of the Constitution all executive actions of the Government of India shall be expressed to be taken in the name of the President. Therefore, “Central Government” means the President and the officers subordinate to him while exercising the executive powers of the Union vested in the President and in the name of the President.
Similarly, as per Article 154 of the Constitution the executive power of the State shall be vested in the Governor and shall be exercised by him either directly or indirectly through officers subordinate to him in accordance with the Constitution. Further, as per Article 166 of the Constitution all executive actions of the Government of State shall be expressed to be taken in the name of Governor. Therefore, “State Government” means the Governor or the officers subordinate to him who exercise the executive power of the State vested in the Governor and in the name of the Governor

Local Authority: “Local authority” has been defined in Section 2(69) of the CGST Act and includes bodies like Panchayat, municipality etc.

Governmental Authority: “Governmental Authority” has been defined in para 2(zf) of Notification No. 12/2017-CT(Rate) to mean an authority or a board or any other body, which is either set up by an Act of Parliament or a State Legislature or established by any Government, with 90 per cent or more participation by way of equity or control, to carry out any function entrusted to a Municipality under Article 243W of the Constitution or to a Panchayat under Article 243G of the Constitution.

Governmental Entity: “Governmental Entity” has been defined in clause 2(zfa) of Notification No. 12/2017-CT(Rate) to mean an authority or a board or any other body including a society, trust, corporation which is set up by an Act of Parliament or State Legislature or is established by any Government, with 90 per cent or more participation by way of equity or control, to carry out a function entrusted by the Central Government, State Government, Union Territory or a local authority.

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