2013 (2) TMI 133 - AT - Service Tax

Waiver of Pre-deposit - Stay of recovery - Construction of complex - Residential complex - Constructed certain houses for Tsunami victims - Held that - Following the decision in case of MACRO MARVEL PROJECTS LTD. (2008 (9) TMI 80 - CESTAT, CHENNAI), waive the requirement of pre-deposit of all dues arising from the impugned order and stay its collection during the pendency of the appeals. In favour of assessee

Summary

Issues:
Classification of constructed houses as a residential complex.

Analysis:
The case involved the construction of houses for Tsunami victims at Nagercoil. The Revenue argued that the constructed houses would constitute a residential complex due to common facilities like water supply, sewage system, community hall, and electricity. However, the counsel for the appellants contended that each residential unit was independent, with separate water and electricity connections. Reference was made to a previous decision by the Tribunal in the case of Macro Marvel Projects Ltd. Vs. Commissioner of Service Tax, Chennai, which was affirmed by the Apex Court. The Revenue attempted to distinguish the present case by claiming that the houses were horizontally integrated and not independent.

Upon considering the arguments from both sides, the Tribunal, at a prima facie stage, held that the appellants would benefit from the decision in the Macro Marvel Projects case. Consequently, the Tribunal waived the requirement of predeposit of all dues arising from the impugned order and stayed the collection during the pendency of the appeals. This decision was dictated and pronounced in open Court.