Service tax liability on construction and sale of ...

Real estate construction and sales exempt from service tax; statutory body not liable under reverse charge. Appeal granted.

August 29, 2024

Case Laws     Service Tax     AT

Service tax liability on construction and sale of complexes/houses/flats, real estate agent services, reverse charge mechanism for legal charges, manpower supply, and works contract services, as well as the extended period of limitation. It holds that service tax is not leviable on construction services, and the appellant is not acting as a real estate agent, hence not liable for service tax on certain receipts. The appellant, being a statutory body and not a business entity, is not liable for service tax under reverse charge mechanism. The extended period of limitation cannot be invoked as there is no suppression or fraud with intent to evade tax by a government authority. Consequently, the impugned orders are set aside, and the appeal is allowed.

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