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TMI Blog2018 (7) TMI 705X X X X Extracts X X X X X X X X Extracts X X X X ..... nd pre-requisite. Leasing of water bodies for fishing purposes is same as leasing of vacant land for aquaculture and therefore, same is fully covered under the exclusion clause of Section 65 of the Finance Act, 1994 and hence not leviable to Service tax. Period between 1.7.2012 to August, 2013 - Held that:- Same provisions have continued in slightly modified way wherein the activity of agriculture has been included in the negative list of items under section 66 D of the Finance Act, 1994 and agriculture as defined in clause (3) of the Section 65 B, as the cultivation of plants and rearing of all life-forms of animals, except the rearing of horses, for food, fiber, fuel, raw material or other similar products - fishing/ aquaculture i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... been confirmed and a penalty of equal amount has been imposed under Section 78 of the Finance Act, 1984, penalties under Section 76 and 77 have also been imposed by the learned Commissioner on the Director, Department of Fisheries. It is vehemently argued by the learned Consultant appearing for the appellant that the provisions of Section 65(90a) provides that the Service tax is leviable on renting of immovable property, wherein the taxable services has been defined as any service provided or to be provided to any person by any other person by renting of immovable property or any other service in relation to such renting for use in the course of business or furtherance of business or commerce. The following explanations have also been added ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... all be deemed to be immovable property for use in the course of furtherance of business or commerce; 2. Learned Consultant has argued that for the demand period between April, 2008 to 30.6.2012, the above provision of the Finance Act were in force and as can be seen from the exclusion clause as given above, the vacant land solely used for agriculture, aquaculture, farming, forestry, animal husbandry, mining purposes, it is provided that if same is given on lease to any other person for the purpose of commerce or business same is excluded from the scope of definition of renting of immovable property and therefore, beyond the levy of service tax. It has been contended by the learned Consultant that the department has confirmed the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s agriculture has been included in the negative list of the activities provided under 66 D. The scope of agriculture has been further defined under section 65B(3) wherein the agriculture means the cultivation of plant and rearing of all life-forms of animals, excepts the rearing of horses, for food, fiber, fuel, raw material or other similar products . It has been the submission of the learned Consultant appearing for the appellants that all life forms rearing or cultivated for food are included under the definition of agriculture and thereby they automatically fall under the negative list of items to be service tax and since the activity of aquaculture falls under the definition of agriculture and natural water bodies leased for aquacul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n 65 of the Finance Act, 1994 and hence not leviable to Service tax. 7. Now, Coming to the period between 1.7.2012 to August, 2013, we find that same provisions have continued in slightly modified way wherein the activity of agriculture has been included in the negative list of items under section 66 D of the Finance Act, 1994 and agriculture as defined in clause (3) of the Section 65 B, as the cultivation of plants and rearing of all life-forms of animals, except the rearing of horses, for food, fiber, fuel, raw material or other similar products . 8. Thus, it can be seen that fishing/ aquaculture is part of the broader definition of agriculture and thus exempted from levy of service tax. We are of the view that agriculture being in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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