It specifies that services by way of any activity in relation to a function entrusted to a Panchayat under Article 243 G of the Constitution., shall be treated as neither supply of goods or supply of services. 

As amended vide notification No.

It notified that service by way of grant of alcoholic liquor licence, against consideration in the form of license fee or application fee or by whatever name it is called, undertaken by the State Governments in which they are engaged as public authorities, shall be treated neither as a supply of goods nor a supply of service.