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TMI Blog2017 (9) TMI 1383X X X X Extracts X X X X X X X X Extracts X X X X ..... 8) TMI 749 - SUPREME COURT] held that any contract which involves transfer of property in the goods along with rendering of services, will have to be necessarily classified under Works Contract Services, will have to be necessarily classified under Works Contract Service w.e.f. 01.06.2007, such contracts cannot be classified under any other category for the period prior to 01.06.2007. The benefit of the above decision of Apex Court was not available to the adjudicating authority at the time of passing of the impugned order - it is necessary to set aside the impugned order and remand the matter to the adjudicating authority for de novo decision - appeal allowed by way of remand. - Appeal No. ST/413/11 - Order No. FO/77118/2017 - Dated: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mmissioning, installation etc. along with incidental excavation works. He further argued that since the contracts awarded to the appellant involved transfer of property in goods such as cement, steel, bricks etc., the service will be rightly classifiable under the category of Works Contract Services defined under section 65(105(zzzza), w.e.f. 01.06.2007. 4. Ld.Counsel for the appellant further submitted that the Hon ble Supreme Court in the case of Commissioner of C.Ex. Cus., Kerala v. Larsen Toubro Ltd. [2015 (39) S.T.R. 913 (S.C.)] has observed that works contract is a different species of contract and such contracts cannot be classified under any other service, for the period prior to 01.06.2007. He further added that the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... return airshaft which involves excavation, earth moving, drilling and lining or airshaft, fabrication of installation of sinking air, drilling of bore whole etc. The activities also varies from work order to work order, but includes some of the activities specified under the category of site formation and clearance. We also note that a complicated work order of the type awarded to the appellant also involves excavation, soil removal, concrete fabrication and erection or shaft for mining etc.. Such services are in the nature of composite service which definitely involves various types of activities specified under the WCS. The adjudicating authority has taken the view that the activities undertaken by the appellant cannot be classified under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... set aside the impugned order and remand the matter to the adjudicating authority for de novo decision. He is directed to examine each contract/work order separately and decide its classification under WCS or otherwise. Those contracts which are in the nature of WCS, cannot be charged to Service Tax for the period up to 31.05.2007 under any other category, as observed by the Apex Court. 9. After deciding the classification of service under WCS, the adjudicating authority is further directed to examine the claim of the appellant for the benefit of the Works Contract Composition Scheme. The benefit will be extendable only in those contracts, where conditions prescribed under relevant Rules are complied with. 10. In view of the above disc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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