9911796707
TMI Blog2022 (4) TMI 1107X X X X Extracts X X X X X X X X Extracts X X X X ..... terials and rendering services. The mere fact that the commercial tax authority had assessed the appellant for commercial tax does not prove that the assessment was towards part of the amount received under this contract for which it received consideration for construction services. The tender document also cannot be co-related with the receipts by the appellant. The work order dated 25.01.2008 submitted by the appellant also does not indicate that the appellant is supposed to supply any goods or used goods. Therefore, the Commissioner (Appeals) was correct in not allowing the abatement of 67% from the gross receipts from the Nagar Palika. However for the financial year 2008-2009, even if the gross receipts are considered the total recei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... had provided such services to Nagar Palika Garhakota and M/s M.P. Warehousing and Logistics Corporation, Jabalpur and had not taken service tax registration nor paid service tax on the amounts received towards such services. A show cause notice dated 08.04.2010 was issued by the Deputy Commissioner, Central Excise, Jabalpur calling upon the appellant to explain why the service tax should not be recovered under Section 73 and why penalties should not be imposed. 3. The Deputy Commissioner passed the order-in-original dated 11.02.2014 confirming the demand of service tax of ₹ 3,02,906/- along with interest and imposing penalties under Sections 76, 77 and 78 of the Finance Act. This order was upheld by the Commissioner (Appeals) by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /s M.P. Warehousing and Logistics Corporation, Jabalpur 1,95,722 Total Taxable Services 6,43,193 FY 2008-2009 Gross Receipt in respect of Commercial Construction Services rendered to Nagar Palika Garhakota 8,11,317 Less : Abatement of 67% (5,43,582) Net Receipt 2,67,735 Add : Repair and Maintenance Services to M/s M.P. Warehousing and Logistics Corporation, Jabalpur 87,684 Total Taxable Services 3,55,419 5. He further s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... supply of goods or use of materials. Learned Counsel only produced copies of some tender notice and assessment orders of the appellant by the commercial tax officers of the State. However, none of these documents could correlate and substantiate that the work orders received by the appellant and amounts paid to him were for composite works contract. 9. The first issue is whether the appellant is entitled to abatement of 67% from the gross amount received for commercial construction services from the Nagar Palika as claimed. 10. The appellant had made this claim before the Original Authority who recorded as follows :- 15. In the instant case the party has not submitted any work orders/invoices/bills which could show that the gross ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e for providing such services . It is on record that the appellant had failed to take registration for provision fo taxable services also failed to submit the ST-3 return under Section 70 of the Finance Act, 1994. Thus I find that the appellant neither furnished any work order/contract issued by the service receiver to them at the time of adjudication proceeding nor during the appeal proceedings. In the present facts and circumstances of the case is clearly violative of fulfillment of the conditions of the Notification No. 1/2006-ST dated 01.03.2006 and thus the abatement is not available to the appellant and they are required to pay service tax on the taxable value of ₹ 21,67,287/- realized on account of Commercial or Industrial Cons ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Nagar Palika. 14. However for the financial year 2008-2009, even if the gross receipts are considered the total receipts fall below the threshold limit of ₹ 10,00,000/- during the financial year. Therefore, no service tax can be levied for the financial year 2008-2009. The demand accordingly needs to be set aside for this financial year. No interest or penalty can consequently to be levied for this financial year. 15. In view of the above, the impugned order is modified by setting aside the demand for the year 2008-2009 along with interest and the penalties imposed under Sections 76 and 78 for this period. The remaining part of the impugned order is upheld. The appeal is disposed of, as above, with consequential relief, if ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
