9911796707
TMI Blog2009 (8) TMI 616X X X X Extracts X X X X X X X X Extracts X X X X ..... pair Rs.8,72,968/- 16-6-2005 to 31-3-2006 Excess availment of Cenvat Credit Rs.36,41,830/- 1-12-2005 to 28-2-2006 (b) Interest on the above amounts under Section 75 of the Finance Act 1994 (the Act). (c) Equal amount of penalty imposed under Section 78 as the tax demanded and penalties imposed under Sections 76 & 77 of the Act. 2. The appellants M/s. Puravankara Projects Ltd. are engaged in construction of residential buildings and are registered under commercial or industrial service and construction of complex services. The appellants were found to have rendered various other services without paying tax due as listed above. 3. We have heard both sides. At the outset, we find that the appellants are registered and assessed to stat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h as, sauna and steam bath, Turkish bath, solarium, spas, reducing or slimming salons, gymnasium, yoga, meditation, massage (excluding therapeutic massage) or any other like service. Provision of health & fitness ser vice attracts Service tax. This is, as per definition, provided by a "Health Club & Fitness Centre" which is any establishment including a hotel or a resort, providing health and fitness service. We find that the facility is owned by the flat owners and the appellants did not render health & fitness service. Therefore, demand under this category is prima fade not sustainable. 4.2 Real Estate Agent service:- We find that this taxable service is defined in Section 65(105)(v) as any service provided or to be provided to a client ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 4.4 Cenvat Credit:- As regards demand for recovering Service tax credit availed in excess of 20% on the ground that the appellants had rendered taxable as well as exempted services, we find that the exempted services found is construction of flats built for the land owners of the land who are co-developers with the appellants. The consideration received by the appellants in the form of right on land transferred to it cannot be held to be towards any exempt service. Appellants constructed the flats and transferred to the land owners in exchange for land received. No services are involved in this transaction; there are no exempt services. Therefore, Rule 6(3) of the Cenvat Credit Rules has been incorrectly invoked to demand Cenvat credit ava ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
