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2015 (4) TMI 822 - AT - Service TaxBusiness Support Services - appellant is engaged in running a plant for treatment of effluent generated in the industrial area - Held that - Demand confirmed against the appellant under the category of 'Business Support Services' for operating the effluent treatment plant which has been established under CETP Project, is sustainable in law. We find that the Maharashtra Pollution Control Board in their website has clearly stated that the appellant has been funded by the Central Government as well as the State Government through MPCB for setting up the Butibori CETP Plant. We also find strong contentions as raised by the learned counsel that the retrospective amendment and brought in statute by Section 145 of the Finance Act, 2012 (Act no. 23 of 2012) would squarely cover the issue; as also the rati o laid down by this Bench in the case of Lote Parshuram Environment Protection Co-op Society Ltd. (2013 (1) TMI 141 - CESTAT MUMBAI). - impugned order is not sustainable and liable to be set aside - Decided in favour of assessee.
Issues:
1. Confirmation of service tax liability under 'Business Support Services' for the period April 2006 to September 2007. Analysis: The appeal was directed against an Order-in-Appeal passed by the Commissioner of Central Excise & Customs, Nagpur, confirming the demand of service tax liability on the appellant for providing services falling under the category of 'Business Support Services.' The appellant operated an effluent treatment plant in Butibori Industrial Area, Nagpur, for treating industrial waste water and removing sludge. The Revenue contended that these services fell under 'Business Support Services.' The appellant argued that the issue was settled by a retrospective amendment to Section 145 of the Finance Act, 2012. They presented evidence that the Butibori CETP Pvt. Ltd. was funded by both the Central and State Governments, as indicated by statements from the Maharashtra Pollution Control Board. The appellant also referred to a similar case decided by the Bench previously. Upon reviewing the records, the Tribunal found that the demand confirmed against the appellant for operating the effluent treatment plant under the CETP Project was not legally sustainable. The Maharashtra Pollution Control Board's website confirmed the funding by both Central and State Governments for the Butibori CETP Plant. The Tribunal also considered the retrospective amendment to Section 145 of the Finance Act, 2012, and the precedent set by a previous case involving similar circumstances. Consequently, the Tribunal concluded that the impugned order confirming the service tax liability was not sustainable. The order was set aside, and the appeal was allowed with any consequential relief deemed necessary.
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