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TMI Blog2014 (12) TMI 242X X X X Extracts X X X X X X X X Extracts X X X X ..... a similar view was taken by the Tribunal on the question whether transportation of coal from colliery to customers premises by arranging for the transportation through rail would amount to “clearing and forwarding agency service” or not and it was held that the same would not be classifiable under “clearing and forwarding agency service”. Appellant has made out a strong case in their favour for grant of stay against the dues adjudged in respect of “clearing and forwarding agency service”. - In any case, the appellant has discharged Service Tax on the consideration received under the category of GTA service on 25% value of the service. As regards the demand under GTA service, the appellant has already discharged a sum of about ₹ 77 lak ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... batement and they have to discharge duty liability on the full amount of consideration received along with interest thereon. It was also noticed that the appellant had short paid Service Tax on GTA services during the years 2005-06, 2006-07, 2007-08, 2008-09 and 2009-10 to the extent of ₹ 94,75,010/-. Out of the above amount, the appellant paid Service Tax amounting to ₹ 77,84,080/- along with interest of ₹ 17,15,168/-. 2.1 A show cause notice dated 22-10-2010 was issued to the appellant proposing to classify the composite services rendered to M/s. Grasim Industries Ltd., Nagda, under the category of clearing and forwarding agency service and demanding a Service Tax of ₹ 4,47,88,078/- under the provisions of Sec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellant submits that as per the terms of contract entered into with M/s. Grasim Industries Ltd., it was for transportation of beneficiated coal from BLA industries Ltd., Nagpur to the premises of M/s. Grasim Industries Ltd. Nagda. The contract envisaged supervising beneficiation of coal at the premises of BLA Industries to ensure that the quality of the coal is as per the specifications, taking delivery of the beneficiated coal from BLA Industries Ltd. and ensuring timely transport of the same through trucks to the plant of the service recipient i.e., M/s. Grasim Industries Ltd., at Nagda. The appellant was also required to collect bills/invoices from M/s. BLA Industries Ltd. and to make payment for the coal on behalf of the service recipien ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cision of this Tribunal in the case of Sendoz Impex Ltd. v. CCE, reported in 2011 (23) S.T.R. 520 (Tri.-Kolkata), Karam Chand Thappar Bros (Coal Sales) Ltd. v. CST, Kolkata, reported in 2010 (20) S.T.R. 237 (Tri.-Kolkata), Hanuman Coal Co. v. CCE, Kanpur, reported in 2011-TIOL-547-CESTAT-Del = 2011 (22) S.T.R. 350 (Tri.-Del.) where in similar circumstances, stay has been granted against recovery of Service Tax under the category of clearing and forwarding agency service . As regards the GTA service they have paid bulk of the Service Tax along with interest thereon. In these circumstances, he pleads for grant of stay. 4. The Commissioner (AR) appearing for the Revenue reiterates the findings given in the adjudicating authority s order ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fiable under two or more sub-clauses of Clause (105) of Section 65, classification shall be effected as follows : (a) the sub-clause which provides the most specific description shall be preferred to sub-clauses providing a more general description; (b) composite services consisting of a combination of different services which cannot be classified in the manner specified in clause (a), shall be classified as if they consisted of a service which gives them their essential character, insofar as this criterion is applicable; (c) when a service cannot be classified in the manner specified in clause (a) or clause (b), it shall be classified under the sub-clause which occurs first among the sub-clauses which equally merit con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oposed by the department. In the Sendoz Impex Ltd. case and Karam Chand Thappar Bros (Coal Sales) Ltd. case (cited supra) a similar view was taken by the Tribunal on the question whether transportation of coal from colliery to customers premises by arranging for the transportation through rail would amount to clearing and forwarding agency service or not and it was held that the same would not be classifiable under clearing and forwarding agency service . 5.4 As regards the reliance placed by the Revenue on the Indian Coal Agency and in the case of Coal Handlers Pvt. Ltd. cases (cited supra), the said decisions were rendered placing reliance on the decision of the Prabhat Zarda Factory [2000 (119) E.L.T. 191 (Tri.-LB)] case, which w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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