Judicial Analysis Court Copy Headnote Facts Arguments Court observation

2026 Supreme(Online)(AP) 9652

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
R Raghunandan Rao, T.C.D. Sekhar, JJ
MADHAVA PALANI WORKS CONSTRACTOR – Appellant
Versus
UNION OF INDIA – Respondent
WRIT PETITION Nos.: 33250 of 2022|17007 of 2023|10609 of 2023|10802 of 2023|12505 of 2023|25314 of 2023|2856 of 2024|12421 of 2025|3694 of 2026

Advocates:
For the Appellants/Petitioners: M V J K Kumar
For the Respondents: Y V Anil Kumar, GP FOR COMMERCIAL TAX, NVS PRASADA VARMA

Tirumala Tirupati Devasthanams (TTD) is classified as a 'Governmental authority' and 'Governmental entity' for GST rate purposes because it is established by state law, controlled by the government, and performs civic administration functions entrusted to a Gram Panchayat.

Headnote:The petitioners, contractors for Tirumala Tirupati Devasthanams (TTD), sought a reduced GST rate of 12% instead of 18% for works executed between 01.07.2017 and 01.07.2022, relying on Notification No. 11 of 2017 and subsequent amendments. The core dispute centered on whether TTD qualifies as a "Governmental authority" or "Governmental entity" under the GST notifications, which would entitle the contractors to the lower tax rate. The court framed the issue around the definitions of "Governmental Authority" and "Governmental Entity" as per the notifications. The court reasoned that TTD was established by state legislation, is under 100% government control (as evidenced by the power of the government to appoint and remove the Board), and performs civic administration functions of a Gram Panchayat in the Tirumala Hills area as per G.O.Ms.No.746, thereby satisfying the requirements of both definitions. The Writ Petitions are disposed of, with matters remanded to the respective Assessing Authorities to determine if the specific works executed by the petitioners fall within the nature of works enumerated in the notifications to grant the benefit of the reduced tax rate.

Table of Content
1. dispute over applicable gst rates for contractors working for ttd. (Para 1 , 2 , 3)
2. analysis of gst notifications and definitions of governmental authority and entity. (Para 4 , 5 , 6 , 7 , 8)
3. determination that ttd qualifies as a governmental authority and entity due to government control and civic functions. (Para 9 , 10 , 11 , 12)
4. necessity of factual determination by assessing authorities regarding the nature of works executed. (Para 13 , 14 , 15 , 16 , 17 , 18)
5. remand of cases to assessing authorities for final determination of tax benefits. (Para 19 , 20 , 21)

Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased topleased to issue an appropriate writ, order or direction particularly in the nature of Writ of MANDAMUS (i) declaring the inaction on the part of the Executive Officer, TTD in not considering the representations made by the Petitioner to it either to pay the enhanced rate of 6 percent as levied by the GST authorities with penalty and interest or (ii) to give clarification pursuant to the letter addressed by the Executive Officer , TTD dated 22-04-2018 to the Chief Commissioner, State GST to grant necessary instructions and to refrain the Assistant Commissioner (ST), GST Department not to issue any further communication pursuant to the show cause notice dated 17-09-2022 as he is also a Government Official who has to wait for the instructions to be issued by the State GST Chief Commissioner and consequently to direct the Chief Commissioner to issue instructions accordingly or (iii) to direct the Executive Officer to pay balance amount of 6 percent along with interest and penalty as levied in the show cause notice (iv) and pass

IA NO: 1 OF 2022

Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased to grant stay directing the Assistant Commissioner (ST), GST not to proceed further with the show cause notice pending disposal of the writ petition and pass

IA NO: 2 OF 2022

Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased to vacate the interim Orders granted on 11.11.2022 in W.P No.33250 of 2022 in the interests of justice and pass

IA NO: 1 OF 2024

Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased pleased to extend the interim orders WP 33250/22 Dt.20/12/23till the disposal of the writ petition as the Hon‟ble Court was pleased to extend the same time and again, else the Petitioner would be put to serious loss and hardship.

Counsel for the Petitioner:

1. M V J K KUMAR

Counsel for the Respondent(S):

1. Y V ANIL KUMAR (Central Government Counsel)

2. GP FOR COMMERCIAL TAX

3. NVS PRASADA VARMA

The Court made the following Common Order:

(per Hon’ble Sri Justice R. Raghunandan Rao)

All these Writ Petitions arise out of questions of rate of tax payable by contractors, who have executed work contracts for Tirumula Tirupati Devastanams (TTD), between the period 01.07.2017 to 01.07.2022.

2. The petitioners herein, who are contractors, contend that they are liable to pay GST @ 12% from 01.07.2017 to 01.07.2022 and @ 18% thereafter. The GST Authorities, on the other hand, contend that the rate of tax remains 18% from 01.07.2022 onwards.

3. The main contention raised by the petitioners is that Notification No.11 of 2017, dated 28.06.2017, fixed the rate of GST, on contracts executed for TTD at 12%. This contention is disputed by the respondent-GST Authorities.

4. The GST Act came into force from 01.07.2017. The rate of tax payable on supply of goods or on supply of services is not stipulated under the Act. However, such rate of tax is stipulated, by way of notifications, issued from time to ti

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