9911796707
TMI Blog2018 (4) TMI 730X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri V.B. Gaikwad, Advocate for Appellant Shri Atul Sharma, Asstt. Commr. (A.R) for respondent Per : Ramesh Nair Brief facts of the case are that the Appellant were registered with service tax department under the category of Commercial Industrial Construction Services . After introduction of Works Contract Services they stopped paying service tax under Commercial or Industrial Construction Service and started making payment under category of Works Contract Service . They were issued show cause notice demanding differential service tax on the ground that in terms of Rule 3 (3) of Works Contract (Composition Scheme for payment of Service Tax) Rules, 2007 , the provider of taxable service who opts to pay the service ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rent head prior to 01.06.2007. He submits that the services are correctly classifiable as Works Contract Service. He also submits that the demand is time barred as there is no suppression of fact. 3. Shri Atul Sharma, ld, Assistant Commissioner, AR appearing for the revenue submits that the option has to be exercised before changing the classification of service to Works Contract. He submits that as per the Board Circular the option cannot be availed for the ongoing projects on the day on which the option of composition scheme is opted. He support the findings of the impugned order. 4. Heard both the sides. We find that the issue as to whether the composition scheme under Works Contract can be opted or not in case of ongoing projec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... new tax entry when the appellants discharged service tax in terms of the applicable provisions, it is clear their entitlement cannot be denied. We note that in terms of calculation in Annexure B to the show cause notice, the differential service tax is only relatable to denial of the said composition scheme to the appellant. We find that the denial of composition scheme by the Original Authority is mainly on the ground that the appellant cannot exercise option under the scheme as the contracts were taxable under commercial or industrial construction service / construction of complex service prior to 1-6-2007 and accordingly after 1-6-2007 they cannot opt for payment of service tax under works contract service under composition scheme. We ..... X X X X Extracts X X X X X X X X Extracts X X X X
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