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TMI Blog2012 (10) TMI 446X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellants are engaged in the manufacture and supply of Ready Mix Concrete (hereinafter referred to as RMC) among other activities. 3. On specific intelligence gathered by the officers of Directorate General of Central Excise Intelligence indicated that L&T, ECCD, are transporting the RMC from their plants to the site of their customers through transit mixer vehicles and pumping the same with the help of pumps for which they are collecting pumping charges/unloading charges separately. This activity of "Pumping" appeared to fall under the category "Transport of goods other than water through pipeline or through other conduit" service which is liable to service tax under Section 65(105) of the Finance Act, 1994 with effect fro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3/- for which Service Tax has not been discharged. The total service tax inclusive of education cess payable on the above services rendered by L&T ECCD worked out to Rs. 38,50,478/-. 5. Hence a Show Cause Notice was issued to the appellant proposing to demand of Rs. 37,74,978/- towards Service tax and Rs. 75,500/- towards Ed. Cess under proviso to Section 73(1) of the Finance Act, 1994 along with interest under Section 75 of the Finance Act, 1994 besides proposal for imposing penalties under Sections 76, 77 and 78 of the Finance Act, 1994. After due process of law, the Lower Adjudicating Authority confirmed the proceedings initiated in the SCN but dropped the proposal for penalty under Section 76 of the Finance Act, 1994, vide impugne ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ne nor engaged in making available pipelines as a mode of transport for people, who want to move goods through pipeline. (5) The appellant also submitted that in view of the above they are not liable for Service Tax and hence demand of interest and penalty is not sustainable. 7. Personal hearing was held on 23-5-2011. Shri V.S. Manoj, Advocate, appeared on behalf of the appellant M/s. Larsen & Toubro Limited, at 11.20 AM. Despite intimation no one has appeared from the Department side. 7.1 During the hearing, the advocate submitted that this is an issue where the Department demands Service Tax under Transportation of goods through pipeline under the services namely "Transport of goods other than water th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant collect pumping charges from their customers. The Department has alleged that the above activity will fall under "Transport of goods other than water through pipeline or other conduit" service. "Transport of goods other than water through pipeline or other conduit" service is defined under Section 65(105)(zzz) as any service to any person, by any other person, in relation to transport of goods other than water, through pipeline or other conduit; 8.2 The Board at the time of introduction of Budget 2005 issued Circular dated 27-7-2005 had clarified in para 5.1 as under : "Transportation of goods, other than water through pipeline or conduit is generally employed to transport petroleum and other petroleum products, natural gas, LPG ..... X X X X Extracts X X X X X X X X Extracts X X X X
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