9911796707
TMI Blog2012 (9) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... Service Tax. (ii) Whether the activity of loading /unloading of the coal carried out by the appellant for bringing the coal into washery fall under the category of cargo handling services. (iii) Whether the show cause notice issued on 7.9.06 for the period 16.8.02 to 31.3.06 is barred by limitation. 2. The Commissioner vide his impugned order has confirmed the demand of Rs.16,53,19,593 (Rupees Sixteen crore fiftythree lakh nineteen thousand five hundred nintythree only) against the appellant by holding that the activity of washing the coal falls under the Business auxiliary services. Another amount of Rs. 85,97,773/- (Rupees Eightyfive lakh ninetyseven thousand seven hundred seventythree only) stand confirmed in resp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l v. Kesorm Industries & Others - 2004 (10) SCC 201, the Apex Court has observed that the definition of mineral is wide. Coal washing plants or coking coal or quarries coal mines and washed coal slurry, and cokes of different grades would also come within the definition of coal. In view of the above observations we are of the considered view that the beneficiation of coal carried out by the appellant is definitely a part of mining activity. The service provided by to any other person is relating mining or case has been brought under the ambit of service tax w.e.f. 1-6-2007. As washing of coal is recognized as a part of mining activity in the enactment relating to mining, in our view the washing or beneficiation of coal would be liable to se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ied upon Rajasthan High Court decision in S B Construction Company vs. Union of India [2006 (4) STR 545 (Raj)]. 5. On the other hand, Commissioner has confirmed the demand by holding that agency need not necessarily be an organisation or commercial concern engaged in loading / unloading of the cargo and it can be any person who is engaged in cargo handling operation and undertakes the services in contract with a principal. Inasmuch as the appellant is engaged in loading and /or unloading of coal at its washery and at other places the said activity has to be held as falling under the category of cargo handling. 6. The facts of the case are not in dispute. The appellants main job is beneficiation of coal. They have entered int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iding of service by a cargo handling agency to another person. Whether the appellant can be held to be a cargo handling agency or not is the issue to be decided in the present appeal. Another issue required to be decided is as to whether the appellant has provided said services to another person. Admittedly the appellant has entered into a contract with their customers for the purpose of beneficiation of coal, which would also include bringing the raw coal to their washery and supply the washed coal to their customers. As such, it cannot be held that the appellant is cargo handling agency providing services to another person. Further, the said loading /unloading is required to be done by the appellant for himself. Such service is not being ..... X X X X Extracts X X X X X X X X Extracts X X X X
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