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TMI Blog2024 (11) TMI 1227X X X X Extracts X X X X X X X X Extracts X X X X ..... ate that the Appellant is supplying Labour/manpower to the pharmaceutical companies. We find that the tenor of the agreements clearly indicate that the Agreement entered into by the appellant is a Labour Supply Contract and so the services rendered would fall under Manpower Recruitment or Supply Agency service. Notification No. 30/2012-ST dtd. 20.06.2012 amended vide Notification No. 7/2015 -ST dtd. 01.03.2015 provides, in case of Manpower Supply Service 100% service tax is payable by the Service recipient w.e.f. 01.03.2015. Before this amendment Service provider was required to pay 25% service tax and 75% service tax was required to be paid by the Service recipient. In the present matter Appellant provided the manpower supply service to above pharma companies on which as per the above provisions service recipient is required to pay 100% Service tax. We also noticed that in the present matter on the Appellant s service aforesaid pharma companies have paid the service tax. The Appellant also produced before us the copies of Challans and certificate issued by said pharma companies regarding the payment of service tax on the appellant s activity. In the present disputed matter service ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rmed the demand of service tax along with interest and penalty. Aggrieved by the impugned order-in-original present Appeal has been filed. 2. Shri Vipul Khandhar, Learned CA appearing on behalf of the appellant submits that appellant have provided Manpower Recruitment Service to various companies. As per the Notification No. 30/2012-ST as amended Appellant are not liable to pay Service tax. On the services of the Appellant recipient is liable to pay service tax. He also submits that during the disputed period the recipients of services have paid the service tax on appellant s services. He produced the copy of certificates issued by the service recipients. Since the demand of service tax was already paid by the Service recipient under reverse charge mechanism on supply on manpower supply service, demand of service tax on same value would amounts to double taxation. 2.1 He further submits that Ld. Commissioner in impugned order wrongly interpreted the agreements with M/s Intas Pharmaceuticals Ltd., M/s Troika Pharmaceuticals Ltd. and Lincoln Pharmaceuticals Ltd. and held that Appellant has provided Labour for specific work that is for loading, unloading, packaging, housekeeping etc. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have carefully perused the agreement entered into by the appellant with M/s. Intas Pharmaceuticals Ltd., M/s. Troikaa Pharmaceuticals Ltd., M/s. Lincoln Pharmaceuticals Ltd. as available on records. We observed that all the contract heading is Contract agreement for Labour Supply Some of the relevant conditions from the agreement between the appellant and service receipt i.e M/s Intas Pharmaceuticals Ltd are extracted as under :- 2. The Contract shall supply the required number of contract labours of unskilled nature mainly for housekeeping, material movement/distribution, packing and any incidental/ mis. Works related thereof. 3. The contractor shall supply only those labours who are minimum SSC exam passed and shall be able to read and understand English. -------------------------------------------------------------------------------------------------------------------------- 5. The contractor shall provide and supply adequate number of contract labours depending upon the requirement of the company according to instruction of the HR department. 6 The contractor shall provide and supply adequate number of contract labours, depending upon the requirement of the company according to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uthorities. 15. The contractor shall possess a valid licenses under the contractor labour (regulation and Abolition) Act 1970. A certificate copy of such license shall be submitted to the company. 4.2 From the above it is clear that the Appellant basically provided the Labours to the pharmaceutical companies as may be required to provide for packing, loading/unloading, cleaning and maintenance etc. works at factory. The Appellant is responsible for deducting and remitting provident fund and ESIC contributions and also for payment of wages to labours and other dues, and also shall require to maintain records and registers, obtain any license or registration required by law for supply of workmen/labour. Further conditions of agreements clearly indicate that the Appellant is supplying Labour/manpower to the pharmaceutical companies. At this juncture, we find it is necessary to refer to the decision of the Hon ble Supreme Court in the case of Super Poly Fabriks Ltd. v. CCE, Punjab - 2008 (10) S.T.R. 545 (S.C.), which laid down the ratio as under :- There cannot be any doubt whatsoever that a document has to be read as a whole. The purport and object with which the parties thereto enter ..... X X X X Extracts X X X X X X X X Extracts X X X X
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