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TMI Blog2014 (2) TMI 1221X X X X Extracts X X X X X X X X Extracts X X X X ..... is not proper, cracks can develop and there can be water seepage etc. Moreover, renovation or restoration is also covered and the definition also used the word “similar services”. There could be a view that painting can be covered under renovation and restoration also as far as the walls of the building are concerned. The stand taken by the assessee that the assessee is liable to pay Service Tax treating the painting activity as a works contract cannot be found fault with at this stage subject to detailed consideration at the time of final hearing and therefore a case has been made out for waiver. - Stay granted. - ST/28425/2013-DB - Misc. Order No. 20313/2014 - Dated:- 10-2-2014 - Shri B.S.V. Murthy, Member (T) and S.K. Mohanty, Mem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the activity as works contract and paid Service Tax @ 4% under the composition scheme with regard to the painting work done for commercial buildings and residential complexes. In respect of painting contracts for individual residential houses and flats, no Service Tax has been paid. On this ground demand for Service Tax of ₹ 78,75,346/- has been confirmed with interest and penalties have been imposed under various sections of Finance Act, 1994. 3. Moving the stay application, the learned counsel submitted that the activity of painting/repainting undertaken by the appellant is works contract and appellant has been treating the same as works contract and discharging the tax liability under the State VAT Law as well as Service Tax in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ture, pipeline or conduit, Construction of complex means - (a) Construction of a new residential complex or a part thereof; or (b) completion and finishing services in relation to residential complex such as glazing, plastering, painting, floor and wall tiling, wall covering and wall papering, wood and metal joinery and carpentry, fencing and railing, construction of swimming pools, acoustic applications or fittings and other similar services; or (c) Repair, alteration, renovation or restoration of, or similar services in relation to, residential complex; Works contract means Explanation. - For the purposes of this sub-clause, works contract means a contract wherein, - (i) Transfer of property ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eration, such service will be classifiable under works contract. Stand taken by the Revenue is that painting of commercial or industrial or residential complex is in the nature of maintenance and cannot be considered as repair and therefore the service cannot be classified under works contract since maintenance is not covered under the definition. Therefore, the most important and crucial aspect to be decided is whether painting of a building amounts to repair or maintenance. On the one hand learned counsel would submit that it amounts to repair because if the painting is not proper, cracks can develop and there can be water seepage etc. Moreover, renovation or restoration is also covered and the definition also used the word similar servi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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