9911796707
TMI Blog2024 (9) TMI 1493X X X X Extracts X X X X X X X X Extracts X X X X ..... Tax for providing various categories of services such as Maintenance or Repair Services, Transport of Goods by Road, Erection, Commissioning and Installation Services, Works Contract Service, Survey and Map Making Service, Design Service, Commercial &Industrial Construction Service. 2.1. The Appellant was audited for the FY 2008-12, wherein certain Audit Objections were raised by the Audit group. Pursuant to the said objection, a Show Cause Notice No. 06/2014 through C. No. V(15) 320/ST-Adjn/Commr/13/38307 dated 10.01.2014 was issued by Commissioner of Service Tax, Kolkata Commissionerate on the following issues: - Issue Particular Tax Demand I Demand of Service Tax on alleged operation and maintenance of the Ropeway from Deorali Bazar to Secretariat (Tashiling), at Gangtok provided to the Government of Sikkim 47,82,326 II Demand of Service Tax on alleged operation and maintenance of the Ropeway at Trikut Hill, Deoghar, provided to the Government of Jharkhand 12,98,761 III Demand of Service Tax on alleged operation and regular &periodic repair and maintenance including preventive maintenance of the battery operated vehicle and existing road train and prevailing track by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax on alleged operation and maintenance & repair of the Ropeway from Deorali Bazar to Secretariat (Tashiling), at Gangtok provided to the Government of Sikkim 4,782,326 1,261,083 2 Demand of Service Tax on alleged operation and maintenance of the Ropeway at Trikut Hill, Deoghar, provided to the Government of Jharkhand 1,298,761 1,684,673 3 Demand of Service Tax on alleged operation and regular & periodic repair and maintenance including preventive maintenance of the battery operated vehicle and existing road train and prevailing track by providing license fee to the Science City Authority 136,398 32,857 4 Demand of Service Tax on alleged operation and maintenance of external coal handling system consisting of 9.8 km long bi-cable Aerial Ropeway System at Heavy Water Plant (Manuguru) Khammam, Andhra Pradesh 3,623,317 5,412,061 5 Service tax liability under reverse charge (RCM) - 145,860 6 Demand of Service Tax on Advances received against various Projects Vodafone: 22,112/- Abir Construction: 1,854/- Namchi Project: 2,45,352/- 442,565 - 7 Demand of Service Tax on alleged operation and maintenance & repair of the Bridge at Jaleswar 1,297,057 - 8 Denial of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng license fee to the Science City Authority, the appellant submits that they were entrusted with the task to collect money from the visitors by selling tickets and giving a part of it to Science city authority as royalty; thus, the money has been collected only for allowing the visitors in to the science city, which is not a taxable service. They submit that the same was not taxable under any of the category under the positive list and was exempted under Serial No. 23(c) of Notification No.25/2012 ST dated 20.06.2012, under the negative list regime. 5. Regarding the demand of Service Tax Rs.36,23,317/- and Rs. 54,12,061/- confirmed in the impugned orders on the operation and maintenance of external coal handling system consisting of 9.8 km long bi-cable Aerial Ropeway System at Heavy Water Plant (Manuguru) Khammam, Andhra Pradesh, the appellant submits that the essence of the contract was transportation of 60,000 MT of coal in a month through the aerial ropeway system. Further, payment for coal transportation was made based on reading taken from the belt weighing scale. It is also submitted that the Department of Atomic Energy (GOI) in the contract awarded to the Appellant had pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9. In view of the above submissions, the appellant prayed for allowing their appeals. 10. The Ld. Ld. Authorized Representative reiterated the findings in the impugned order. 11. Heard both sides and perused the appeal documents. 12. Regarding the demands of service tax confirmed in both orders, on the operation and maintenance & repair of the Ropeway, we observe that the appellant was awarded the right to operate and maintain the ropeway for which a license fee was paid to the respective state governments. A perusal of the agreements executed by the appellant with the respective state governments clearly reveal that the appellant operated the Aerial Ropeway by charging value of tickets from the riders of the ropeway. They paid yearly license fee at specific rate to the respective governments of Sikkim and Jharkhand. Rest of the money earned is appropriated by them for operation and maintenance of the said Ropeway. Thus, we observe that the appellant has rendered the service of transportation of passengers by Rope Way, which has been specifically exempted from payment of service tax. The activities undertaken by the Appellant by way of transportation of passengers by ropeway wa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 01-07-2012 on the entire activity undertaken by them and have paid Rs.42,95,835/-(through Cash of Rs.36,36,634 and CENVAT Credit of Rs. 6,59,201] out of the total demand of Rs.54,12,061/-. However, the adjudicating authority failed to adjust this amount against the demand confirmed. Since there is no service tax payable for the period prior to 01.07.2012 and appropriate service tax has already been paid by the appellant for the period after 01.07.2012, there is no further liability on the appellant. However, the issue is remanded back to the adjudicating authority for verification and confirmation of payment of Rs.42,95,835/- as claimed by the appellant. 15. Regarding the demand of Service Tax of Rs.1,45,860/- under Reverse Charge Mechanism on Rent a cab, Security Service, Works Contract Service, Manpower Recruitment Service & Legal Services, the appellant claimed that they have already paid the total amount of Service Tax of Rs. 1,45,860/- along with interest of Rs. 44,853/-. We observe that there is no suppression of facts in this case and the intention to evade payment of tax has not been established. Since the entire demand confirmed in the impugned order is paid along with in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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