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TMI Blog2008 (8) TMI 176X X X X Extracts X X X X X X X X Extracts X X X X ..... en the first work order for supplying vehicles for the year 2002 against NIT No.AGT/TPT/LV (Jeeps)/10/2002 dt.22nd Feb.,2002. On the basis of the same NIT further work orders were also issued in subsequent years. 2. Under the Finance Act, 1994, Chapter V was inserted introducing the concept of service-tax . Cab providers were also brought within the purview of service-tax w.e.f. 16th July, 1997. Thereafter respondent No.4, i.e., the Superintendent, Service-tax, Agartala Range, issued notices to the writ petitioner for depositing service-tax . Since the petitioner was of the view that he was only a collector of service-tax on behalf of the Department, he requested the ONGC to reimburse the service-tax from the period from October, 2004 t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er was issued on the basis of NIT dt.22nd Feb.,2002. Clause 10 of the said NIT deals with tax liability and cl.10.2 relates to liability of service-tax. Upon hearing the learned counsel for both the sides, it appears to me that essentially I am called upon to examine and interpret the tax liability clause mentioned in cl.10.2 which is reproduced below : 10. Tax liability. 10.1 ...... 10.2 Service-tax/sales-tax applicable if any, to the service under this contract shall also be responsibility and payable by contractor. ONGC may, however, deduct tax(es) at source in accordance with applicable rules/regulations/laws/Acts of the Government concerned. 6. For effective disposal of the writ petition it is also necessary to quote the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hri Bhowmik also contended thai, by virtue of the said Act, ONGC had reimbursed an amount of Rs.62,476 in the month of March,2007. Hence the ONGC is now estopped from raising the plea that they are not liable to reimburse the service-tax . 8. Shri P. K. Biswas, learned Asstt. Solicitor General, submitted that since the writ petitioner is an assessee under the Finance Act, 1994 being service provider, it is his liability to pay the service-tax . However, learned Asstt. Solicitor General submitted that whether the writ petitioner is entitled to get reimbursement of the same from the ONGC, it is not the concern of the Tax Department. 9. On the other hand, Shri Deb, learned senior counsel for the respondents-ONGC submitted that since the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a way that an interpretation can also be drawn that it is the contractor's liability to pay the service-tax. It is true that if one compares service-tax clause in the work orders of 2002 and 2006 the aforesaid inference could be drawn. However, cl.10.2 of the NIT dt.22nd Feb.,2002 has to be in consonance with the statutory provisions of the Finance Act which imposes limited liability upon the assessee to collect the service-tax from the consumer and pay to the Department. 12. According to the learned counsel for the petitioner the work order dt. 3rd Nov.,2006 was a continuation of the work orders issued under the NIT dt.22nd Feb.,2002 and as such the clarification given in the sub-sequent work orders should be applied to the previou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contractor for the previous work orders issued against the same NIT. I say so because the work order dt. 3rd Nov.,2006 is in consonance with the provisions of the Finance Act whereas cl. 10.2 in the NIT is apparently contrary to the Act. 14. A technical objection was also raised about the maintainability of the writ petition on the ground that as per the terms and conditions incorporated in the NIT all the disputes and differences should be referred to the arbitrator and as such disputes should be decided in accordance with the arbitration law. However, the objection is not sustainable for two grounds. Firstly the writ petition was filed in the month of September, 2007 and interim order was also passed in favour of the writ petitioner. D ..... X X X X Extracts X X X X X X X X Extracts X X X X
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