AAAR : Reverses AAR, Exempts ‘Annuity’ received during O&M phase, rules on credit exigibility during construction and O&M phase

Rajasthan AAAR reverses AAR order, holds that annuity payments received by Concessionaire (Appellant) from PWD, Govt. of Rajasthan for undertaking two laning/ intermediate laning of sections of State Highway (Project) on DBOT basis, is exempted under Entry No. 23A of Notification No. 12/ 2017- Central tax (Rate); Notes that appellant received 50% of project cost (i.e. cost of construction) during construction period and balance 50% in bi-annual instalments over O&M period...