2011 (6) TMI 380

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..... s of the services - Appellant has been taking a plea before the adjudicating authority that even if the value of the free materials is to be included in the value for discharge of Service Tax liability, they should get the benefit of Notification No. 01/2006 wherein an abatement of 67% is given for the value of the materials consumed - Prima facie , the appellant is eligible for the benefit of aba .....

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..... est on all the above amounts. (v) Penalty: At the rate of Rs.200/- per day or @ 2% of the tax, whichever is higher u/s 76. (vi) Penalty: Rs.94,79,583/- u/s 78. 2 The above said amounts have been confirmed by the adjudicating authority as Service Tax liability on the appellant under the head 'Construction of Complex services'. The adjudicating authority has held that the appellant is .....

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..... ice Tax liability if the said formula is applied, she informs that the differential Service Tax liability will be approximately Rs. 27.02 lakhs, if the cost of materials is included. In our view, the issue is an arguable one. The cost of materials needs to be included after the provisions of Service Tax Valuation Rules came into picture. Prima facie , the appellant is eligible for the benefit of a .....

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