The tribunal allowed the appeal, setting aside the demand for service tax. Relying on Larsen & Toubro Ltd., it held that providing service along with goods under a composite contract is taxable as works contract, not under 'Commercial or Industrial Construction' services.
Impugned order set aside; appeal allowed with consequential relief.
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IN THE CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL REGIONAL BENCH : ALLAHABAD COURT No. I
APPEAL No.ST/593/2012-CU[DB]
(Arising out of Order-in-Appeal No. 155/ST/Appl/Alld/2011 dated 02/11/2011 passed by Commissioner of Central Excise (Appeals), Allahabad)
M/s Engineering Construction Appellant
Vs.
Commissioner of Central Excise, Allahabad Respondent
Appearance:
Shri Ravi Holani, Chartered Accountant, for Appellant Shri Sandeep Kumar Singh, Deputy Commissioner (AR), for Respondent
CORAM:
Hon’ble Mr. Ashok Jindal, Member (Judicial) Hon’ble Mr. Anil G. Shakkarwar, Member (Technical)
FINAL ORDER NO-71642/2018
Per: Ashok Jindal
The appellant is in appeal against the demand of service tax which has been confirmed against them under the category of ‘Commercial or Industrial Construction’ services for the period from 10.09.2004 to 31.05.2007.
APPEAL No.ST/593/2012-CU[DB]
2
the decision of Hon’ble Apex Court in the case of Larsen & Toubro Ltd. reported at 2015 (39) STR 913 (SC) wherein it has been held that if the assessee providing service along with goods, then the service is covered under ‘works contract’. Admittedly, the said service is taxable with effect from 01.06.2007 and for the prior period, if assessee is providing service along with material, the assessee is not liable to pay service tax under the category of ‘Commercial or Industrial Construction’ services. In that circumstances, for the impugned period, the appellant is not liable to pay service tax as the appellant is providing service along with material, therefore, the impugned order is set aside.
(Dictated in Court)
(Anil G. Shakkarwar) Member (Technical)
(Ashok Jindal) Member (Judicial)
akp
2 issues framed by the court
Whether the appellant is liable to pay service tax under 'Commercial or Industrial Construction' services for the period when goods and services were supplied under a composite contract?
Whether the decision in Larsen & Toubro Ltd. applies to exempt service tax liability for providing service along with material prior to 01.06.2007?
Colour shows how this judgement treated each authority
Larsen & Toubro Ltd.Relied on¶15
2015 (39) STR 913 (SC)
M/s Engineering Construction
Commissioner of Central Excise, Allahabad
Ashok Jindal
Anil G. Shakkarwar
As recorded by the court registry
An appeal in a service tax matter before CESTAT.
Judgements on the same questions, provisions and authorities, from every court
