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TMI Blog2022 (8) TMI 470X X X X Extracts X X X X X X X X Extracts X X X X ..... rovided by the appellant would be liable to service tax under "cargo handling service". 2. The appellant claims to be providing "transport of goods by road" service specified in section 65 (50b) of the Finance Act, 1994 [the Finance Act]. The Department believed that the services provided by the appellant would be covered "cargo handling service" as defined in section 65(23) of the Finance Act. Accordingly, a show cause notice dated October 18, 2012 was issued to the appellant. It mentions that according to the work contract/ agreement, the appellant was awarded the following works: "Hiring of drilling machine for drilling of 100mm dia blast holes in coal, Backhoe and tippers for loading and transportation of coal from Ghorawari 16/17, O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... inant element of the transaction and a supply that comprises a single supply from an economic point of view should not be artificially split. The CBEC clarified that a composite service, even if it consists of more than one service, should be treated as a single service based on the main or principal service and accordingly classified. By taking into account both the form and substance of the transaction in the relevant work orders and terms & conditions, I am of the view that the given transaction under the work order involves transportation of coal as the predominant activity which is the principal/major supply of service. The services of loading by pay loader/unloading is incidental/ancillary to the composite nature of service under the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the notice, learned counsel for the appellant has not appeared. Learned authorized representative appearing for the department made submissions and supported the impugned order. 7. The issue that arises for consideration in this appeal is as to whether the activity of loading, transportation and unloading of coal from one point to another point within the mining area would can be classified under "cargo handling service". 8. This issue has been decided by a Division Bench of the Tribunal in Singh Transporters vs. Commissioner of Central Excise, Raipur [2012 (27) S.T.R. 488 (Tri.-Del.)] and it has been held that the activity would not fall within the definition of "cargo handling service". The relevant portion of the order is reproduced be ..... X X X X Extracts X X X X X X X X Extracts X X X X
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