9911796707
TMI Blog2009 (12) TMI 461X X X X Extracts X X X X X X X X Extracts X X X X ..... impugned activity was exigible to service tax under category of 'Commercial or Industrial Construction Service'. - ST/351 OF 2009 - 1746 OF 2009 - Dated:- 11-12-2009 - M.V. RAVINDRAN, JUDICIAL MEMBER AND P. KARTHIKEYAN, TECHNICAL MEMBER G. Shiva Dass for the Appellant. Ms. Joy Kumari Chander for the Respondent. ORDER P. Karthikeyan, Technical Member - The present application seeks waiver of pre-deposit of the following dues adjudged against the appellant M/s. Larsen Toubro, Hyderabad : (i) Service Tax of Rs. 28,25,56,180 (Rupees twenty eight crore twenty five lakhs fifty six thousand one hundred and eighty only) along with applicable interest; (ii) Penalty at the rate of 2 per cent per month on the above amo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he appellant were looked after by the Regional Office of L T, Hyderabad and assessed at the Hyderabad-II Commissionerate. The essential point to be determined was whether the Onshore Terminal constructed by L T for distribution of gas from KG Basin to various parts of the country was excluded under the definition of "Commercial or Industrial Construction Service" under section 65(25)(b) of the Act. As per the definition, service provided in respect of construction of roads, airport, railways, transport terminal, bridges, tunnels and dams were excluded from the purview of CICS. The subject project was for construction of an Onshore Terminal for the purpose of receiving, processing/purification and distribution of natural gas extracted f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d that nothing contained in this sub-rule shall have any effect on the registration granted to the premises or offices having such centralised billing or centralised accounting systems, prior to the 2nd day of November, 2006." 3.1 The exclusion provided under the definition of "Commercial or Industrial Construction Service" applied only to infrastructure projects built by the Government. The definition excluded services relating to construction of roads, airport, railways, transport terminal, bridges, tunnels and dams. These facilities were normally constructed or provided only by the Government or Municipal Corporation and were maintained for public utility and for public purposes. Therefore, transport terminal could only mean a bus term ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... returns they filed with the department. He found justification to invoke longer period to raise the demand and to impose penalty on the appellants. 4. In the appeal and stay application, L T has challenged the impugned demand on merits as well as on the grounds of jurisdiction and limitation. Show-cause notice in the instant case was issued in September 2008; depart-ment was aware of the impugned activity as early as in August 2007. Therefore, the demand was barred by limitation. The impugned order has been passed without jurisdiction. Commissioners of Central Excise had jurisdiction to implement provisions of the Finance Act, 1994 in their respective jurisdictions specified in Notification No. 14/2002-CE (NT). Therefore, Commissioner, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd wall papering, wood and metal joinery and carpentry, fencing and railing, construction of swimming pools, acoustic applications or fittings and other similar services, in relation to building or civil structure; or (d) repair, alteration, renovation or restoration of, or similar services in relation to, building or civil structure, pipeline or conduit, which is — (i) used, or to be used, primarily for; or (ii) occupies, or to be occupies, primarily with; or (iii) engaged, or to be engaged, primarily in, commerce or industry, or work intended for commerce or industry, but does not include such services provided in respect of roads, airports, railways, transport terminals, bridges, tunnels and dams;" Section 65(105)(zzq) defines ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re that the activity involved was taxable. An e-mail dated 13-10-2007 written by Shri M.K. Dayanand, Manager Accounts of the assessee to Shri K. Udaya Bhaskar, Asstt. Manager, (Indirect Taxes) of the assessee and Shri Purushotham, General Manager, Taxation of the assessee, inter alia, stated that RIL had not reimbursed service tax on the impugned construction activity. There was also other notings in the files of the appellant company by the managerial staff to the effect that construction of OT was liable to service tax. One of the sub-contractors of L T who had obtained legal opinion on the subject had intimated the appellant that service tax was applicable on construction of OTA letter dated 21-2-2007 of the Superintendent or the reply ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
