Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2010 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2010 (3) TMI 742 - CESTAT, AHMEDABADStay petition and order - Port services - The appellant, allowed L&T to construct a captive jetty exclusively for their use - According to the agreement L&T will be liable to pay 20 per cent of normal wharfage charges till they recover the cost incurred by them in construction of captive jetty - The department has taken a stand that appellant is required to pay the service tax on the wharfage charges to the extent of 100 per cent even though they are charging 20 per cent of the actual wharfage since leviable concession is directly linked to the cost of construction of jetty - submits that what they are doing are statutory functions and not related to any service. He also submits that they are paying service tax on 20 per cent collected from L&T since the amount is collected as wharfage which is one of the terms used for various services provided by a port - that GMTB is a State Government entity and there are questions of law involving applicability of Policy and Valuation rules prior to 2006, includeability of additional consideration before 2006, we find that the issue is contentious. Learned advocate was not willing to make any offer as regards pre-deposit but submitted that early hearing may be allowed so that the issue can be settled finally without any delay. Learned SDR has no objection. Since GMTB is also A State Government entity, the dispute is between State Government and Central Government. We consider that it will be appropriate to allow the stay petition and also order early hearing of the matter so that issue can be decided without any delay.
|