9911796707
TMI Blog2024 (8) TMI 318X X X X Extracts X X X X X X X X Extracts X X X X ..... oard dated 09.04.2013 clearly shows that the allotted work to the appellant was inclusive of cost of material and no material was supplied by the Punjab Mandi Board; therefore, once it is a Works Contract than as per the judgment of the Hon ble Supreme Court in the case of M/S. LARSEN TOUBRO LIMITED ANOTHER VERSUS STATE OF KARNATAKA ANOTHER [ 2013 (9) TMI 853 - SUPREME COURT] ; the appellant is not liable to pay service tax under Commercial or Industrial Construction Service even prior to 01.06.2007 or after that date also. Time limitation - HELD THAT:- There is no specific allegation against the appellant that they have not paid the service tax with intend to evade payment of service tax. In fact, the appellant were providing services to o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Maintenance repair Services as defined under Section 65(105)(zzq) and Section 65(105)(zzg) of the Act, to Punjab Mandi Board, without getting registered under service tax, paying of appropriate Service Tax and filing of statutory service tax return in contravention of Section 67,68 69 of the Act read with Rule 4,6 7 of the Service Tax Rules, 1994(for brevity' the Rules'). On these allegations two show cause notices dated 23.04.2012 demanding service tax of Rs. 3,78,685/- for the period 01.10.2006 to March 2011 and show cause notice dated 05.10.2012 amounting to Rs.4,55,477/- for the period 2011-12 were issued to the appellant for recovery of service tax under Section 73(1) and 73 respectively. Penalties under Section 76,77,78 an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the land in the market committees. Some amount of sand is then sprinkled thereon. There is no use of water or cement. The activity of the appellant has not resulted into the construction of a new building or a civil structure or a part thereof. He further submits that the service provided is not covered under the definition of Commercial or industrial construction as defined under Section 65(105(25b). He further submits that the service was provided with materials which amounts to provision of Works Contract Service as defined under Section 65(105)(zzzz) of the Act. Whereas, the demand has been confirmed under Commercial or Industrial construction service which is legally unsustainable. 4.2 He further submits that prior to 01.06.2007, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3 clearly shows that the allotted work to the appellant was inclusive of cost of material and no material was supplied by the Punjab Mandi Board; therefore, once it is a Works Contract than as per the judgment of the Hon ble Supreme Court in the case of Larsen and Toubro Ltd. v. State of Karnataka reported as 2014 (034) STR 481 (S.C.); the appellant is not liable to pay service tax under Commercial or Industrial Construction Service even prior to 01.06.2007 or after that date also. This issue has been considered by the Chandigarh Bench in the case of Mehta Construction Company Vs Commissioner of Central Excise Panchkula vide Final Order No. 60078/2024 dated 05.03.2024, wherein, this Tribunal has held in Para 6 as under: 6. Heard both sides ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct on record that the appellant has provided the services in question along with material. Therefore, the classification of the services is Works Contract as per the decision of Hon'ble Apex Court in the case of Larsen Toubro (supra) wherein the Hon'ble Apex Court held that any service provided along with material falls under the category of Works Contract, therefore, prior to 01.07.2012, the service tax liability is not sustainable against the appellant under the category of 'Erection, Commissioning and Installation Services'. For the period post 01.07.2012, in terms of exemption Notification No. 25/2012-ST dated 20.06.2012, the services provided to government organizations or a local authority, by way of construction, erec ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
