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TMI Blog2022 (3) TMI 403X X X X Extracts X X X X X X X X Extracts X X X X ..... lant pointed out that the demand of Service Tax was raised under four different contracts. The list of the Four different contract is as under:- Sr. No Work Order No. i.e. Contract/agreement Date Name of services provided Period Amount 1 W.O.No.Ank/MM/P 4/014/2003-04 19.09.03 Cleaning services such as up-keeping/environmental services July 05 to March 06 2323546/- 2 W.O.No.Ank/MM/P 4/015/2004-05 15.06.05 Clearing services as such Grass, Bush, Jungle cutting at Area-III of ONGC Ank. And regular maintenance as tender documents Aug. 05 to March 06 2023346/- 3 W.O.No.Ank/Asset/ CPF/OPS/76/Work Order/2005-06 16.09.05 Cleaning of LPG Condenser Oct 05 50000/- 4 W.O.No.Ank/Asset/ CPF/O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a 9 reads as follows:- "9. Cleaning services 9.1 Any service provided or to be provided to any person, by any other person, in relation to cleaning activity is taxable under sub-clause (zzzd) of section 65(105) of the Finance Act, 1994 "Cleaning activity has been defined under dause (24b) of section 65 of the Finance Act, 1994 9.2 Generally contracts/agreements are entered into for cleaning of commercial complexes such as multiplexes, shopping complexes, office complexes, industrial buildings etc. The contracts/agreements may be in writing or may be unwritten. The gross amount charged for such cleaning would be leviable to service tax. This taxable service includes, (i) Specialized cleaning services such as disinfecting and exter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e to cutting of grass, trees and bushes and does not amount cleaning service and thus, the activity should be called horticulture and does not amount to cleaning service. He, however admitted that the premises in which the activity was being undertaken are commercial and industrial premises where natural Gas is collected by ONGC. 2.7 Learned Counsel further pointed out that though the appellant had not taken Service Tax registration and had not filed any returns but as soon as the issues was raised the appellant voluntarily admitted their liability in respect of item 3 & 4 of the above table in para 2 and paid duty. He further pointed out that in their response to summons they had clarified that the appellant had bonafide belief that no Se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... elied on the similar decision of Tribunal in the case of LAKSHMI VILAS BANK LTD. Vs. COMMISSIONER OF C. EX., TRICHY-2011 (21) STR 294 (Tri.-Chennai) and CCE, TRIUPATHI Vs. INDIA CEMANTS LTD-2017 (3) GSTL 144 (Tri-Hyd). 4. We have carefully considered the rival submissions. As far as Serial No. 3 & 4 of the table in para 2 above are concerned the appellant are not contesting the same on merit. 5. For Serial No. 1 of the table in para 2 above, it is seen that this scope of work as elaborated in para 2.1 above. It can be seen that the appellants were engaged in all kind of activities relating to up keep of the residential colony. It involved cleaning of not only open spaces but also various facilities located within the residential col ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nclusive parts which covers services received at places other than the main office. Moreover the CBEC Circular No. B1/6/2005-TRU, dated 27-7-2005 at www.cbec.gov.in has also clarified that such cleaning services in respect of non-commercial buildings and premises thereof would not be covered within the purview of Service Tax under this category. The residential Colony would therefore not be covered under the description 'premises' appearing in Section 65 (24b). In view of above the demand of Service tax in respect of Serial No. 1 of above table is set aside. 6. The next issue relates to Serial No. 2 of table in para 9, it is seen that the said demand relates to cutting of trees, grass shrubs etc. and maintain it over a period of time in th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it is liable to pay service tax in respect of work order dated 15.06.2005." 7. We are in an agreement with the observations of Commissioner (Appeals) and find that the activity of the appellant cannot be treated as horticulture from the description given in above para. It is apparent that the activity undertaken by the appellant is in the nature of cleaning activity and therefore covered under the definition of this service as defined in Section 65 (24b) of the Finance Act, 1994, the demand of this ground is therefore upheld. 7.1 It is seen that the appellants were not registered with the Service Tax department at the time when the case was booked against him. The appellant had immediately paid Service Tax on 2 of the 4 issues raise ..... X X X X Extracts X X X X X X X X Extracts X X X X
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