9911796707
TMI Blog2018 (8) TMI 627X X X X Extracts X X X X X X X X Extracts X X X X ..... issue, they are being disposed of by a common order. 2. The relevant facts that arise for consideration, after filtering out unnecessary details are in Appeal No.ST/856/2009, the demand is for the period April, 2007 to March, 2008 on the appellant and in another Appeal No.ST/1711/2011, the demand is for the period April, 2008 to March, 2009. The appellants herein are engaged in the services related to site formation, construction etc, and are registered with the Service Tax Department and the dispute in present cases relate to (i) Work Order dated 08.12.2006 were construction of Ash dyke at Lanco Amarkantak Thermal Power Station (300MW), Korba, Chhattisgarh. (ii) Work Order dated 13.04.2007 for site grading works at 2 x 507.5 MW Naga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f ash dyke in the said thermal power station. He would submit that for providing and laying of such various related construction activity, appellant is required to use their own material and transfer the same in the form of ash dyke to M/s Lanco Infratech Ltd. He would submit that this entire activity is perceived by appellant as being Works Contract. The claim of the appellant's counsel is that the contract value which has been entered into by the appellant, they have discharged the VAT on such activity and has considered the same as a Works Contract and hence, for the entire period from April, 2007 to March, 2009, the said contract needs to be looked into as Works Contract and as per the decision of the Supreme Court in the case of Larsen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to March, 2007 for discharge of tax liability on 67% of the value is incorrect as the said benefit is available only for maintenance and repair services and not for the site formation or works contract as the case may be. As regards the construction of roads as claimed by the appellant, it is his submission that the roads which are sought to be constructed is nothing but only preparation of sub-grade of excavation, filling of the same and compacted and is not road per se and it is only earth work for the roads. He submits that the benefit of Notification No.17/2005 extended to the activity of site formation for construction of road does not envisage this activity. 6. On careful consideration of the submissions made, we find that the issue ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ks Contract (composition scheme for payment of Service Tax) Rules, 2007 cannot be extended. In our view, the factual position, on reading agreement and works order indicates that it is works contract; the impugned order holding otherwise is unsustainable. To that extent, we hold that the impugned order is liable to be set aside and we do so. 7. As regards the other demand raised in the impugned orders as to taxability of the services rendered by appellant, site formation activity of Nagarjuna Thermal Power Project at Padubidri, Udipi District, Karnataka, the reading of the said contract indicates clearly that the entire contract is only for site formation and clearance, excavation and earth moving and demolition services. The bill of quant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion (1) of section 93 of the Finance Act, 1994 (32 of 1994) (hereinafter referred to as the Finance Act), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the site formation and clearance, excavation and earthmoving and demolition and such other similar activities, referred to in sub-clause (zzza) of clause (105) of section 65 of the Finance Act, provided to any person by any other person in the course of construction of roads, airports, railways, transport terminals, bridges, tunnels, dams, ports or other ports, from the whole of service tax leviable thereon under section66 of the said Finance Act." 8. In our view, the findings recorded by the adjudicating authority on the co ..... X X X X Extracts X X X X X X X X Extracts X X X X
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