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TMI Blog2024 (1) TMI 888X X X X Extracts X X X X X X X X Extracts X X X X ..... be taxed separately. In the decision titled as Jain carrying Corporation Vs. Commissioner of Central Excise, Jaipur, [ 2015 (11) TMI 98 - SC ORDER] , wherein it was held that if separate rates are provided for separate activities under a common agreement/instrument, the activities should be classified under their respective categories. Though the department has also relied upon several decisions but most of them pertains to the comprehensive/composite contract. As already discussed above, it is not the fact for the contracts in question. The adjudicating authority while declining the transportation activity as a GTA service has held that since there is no consignment note, the same cannot be held to be the GTA service. No doubt in terms of Rule 4B of Service Tax Rule, 1994, issuance of consignment note to the recipient of service is mandatory. But in the present case, apparently and admittedly, there were issued transit slips having all such details as were to be mentioned in the consignment note. Hence just because the receipts/notes had a different nomenclature, it cannot be held that there was no consignment note. There are no reason to conform the order under challenge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve for the department. 3. Learned counsel for the appellant has mentioned that the appellant is engaged in the provision of Mining Services, Service of transportation of the mined goods from mining sites to other places and transportation of other goods to various principals/mine owners. In this regard, the appellant has entered into contracts with various principals for the provision of the requisite services rendered by appellant. In each of these contracts executed between the appellant and the principals, separate rates have been mentioned for the services of mining and for the services of transportation. 3.1 It is further submitted that appellant thus has charged separate amount for the mining services rendered and the amount for rendering services of transportation of mined material to the respective plants/crushers/designated places was charged separately. It is also impressed upon that the mining activity provided by the appellant ceases as soon as the mineral gets excavated. Thereafter the mined goods need to be transported from the excavation site to the designated places based on the transit slips mentioning specific vehicle number, weight etc. to be issued by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Authorized Representative that from the perusal of agreements/contracts/work orders as have been executed between appellants and their principals, the activity is detailed as the one starting from mining of minerals to the delivery thereof to the designated site of the service receiver. The billing pattern also reflect that the activity of transportation is linked with the quantum of mineral actually extracted by the service provider. Hence the entire service rendered by the appellant is rightly been held as the services predominantly relating to the mining activity and as such the entire tax liability arises for rendering one particular kind of service for which the appellant only is liable to discharge the tax liability on the total amount of consideration received for rendering the said service. Impressing upon the correctness of findings in Para 4 of the order under challenge, the order is prayed to be upheld and the appeal is prayed to be dismissed. Learned Departmental Representative has relied upon the following decisions: (i) M Ramakrishna Reddy Vs. Commr. of C. Ex. Cus. Tirupathi, reported as 2008 (10) TMI 115 CESTAT, Bangalore (ii) Commissioner of C.Ex., Hy ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1. - For the removal of doubts, it is hereby declared that nothing contained in this clause shall apply to, - (A) the functions performed by the Members of Parliament, Members of State Legislative, Members of Panchayats, Members of Municipalities and Members of other local authorities who receive any consideration in performing the functions of that office as such member, or (B) the duties performed by any person who holds any post in pursuance of the provisions of the Constitution in that capacity, or (C) the duties performed by any person as a Chairperson or a Member or a Director in a body established by the Central Government or State Governments or local authority and who is not deemed as an employee before the commencement of this section. Explanation 2. For the purposes of this clause, the expression transaction in money or actionable claim shall not include - (1) any activity relating to use of money or its conversion by cash or by any other mode, from one form, currency or denomination, to another form, currency or denomination for which a separate consideration is charged; (ii) any activity carried out, for a consideration, in r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) if various elements of such service are naturally bundled in the ordinary course of business, it shall be treated as provision of the single service which gives such bundle its essential character; (b) if various elements of such service are not naturally bundled in the ordinary course of business, it shall be treated as provision of the single service which results in highest liability of service tax. Explanation. For the purposes of sub-section (3), the expression bundled service means a bundle of provision of various services wherein an element of provision of one service is combined with an element or elements of provision of any other service or services. 5.2 Despite these changes in the Finance Act, the fact that transportation is a specifically defined activity is still there in the statute. Also as already observed above, the contracts are not composite in nature and the services provided by the appellants are not composite in nature. There are separate arrangement/contract for the activity which can be called as the Mining Services and the activity which is Transportation Services. Also as apparent from the Section 66F as reproduced above, it is clear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er GTA services. Hon ble Supreme Court also in the case of Commissioner of Central Excise and Service Tax, Raipur Vs. Singh Transporters, reported as 2017 (4) GSTL 3 (SC) has held that transport of coal from pitheads to railway sidings within the mining area is classifiable under GTA service and not under the mining service. This Tribunal also in the case of Mirza Hasam (supra) and another decision in the case of Chhaya Mahalley Vs. Commissioner of Customs, Central Excise CGST, Bhopal, reported as 2022 (12) TMI 460- CESTAT NEW DELHI has followed the aforesaid outcome of Hon ble Supreme Court. 5.4 The adjudicating authority while declining the transportation activity as a GTA service has held that since there is no consignment note, the same cannot be held to be the GTA service. No doubt in terms of Rule 4B of Service Tax Rule, 1994, issuance of consignment note to the recipient of service is mandatory. But in the present case, apparently and admittedly, there were issued transit slips having all such details as were to be mentioned in the consignment note. Hence just because the receipts/notes had a different nomenclature, it cannot be held that there was no consignment note. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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