2014 (2) TMI 1136 - AT - Service Tax

Valuation of goods - inclusion of price of goods - divisible contract of repair and maintenance - benefit of Notification no. 12/2003-ST dated 28th June, 2003 - Held that - there was breakup of the consideration received by the respondent towards labour charges, and price of goods. This establishes that contract was divisible, and there was transfer of property in the execution of work contract of repair. - Exemption under Notification No. 12/2003-ST dated 28th June, 2003 allowed - Decided against Revenue.

Summary

The Appellate Tribunal CESTAT NEW DELHI dismissed Revenue's appeal as there was no legal infirmity in the adjudication order. The contract was found to be divisible with a transfer of property, leading to the dropping of the show cause notice. Cross Objection was also dismissed.