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2024 (3) TMI 758 - CESTAT ALLAHABADRefund of service tax paid as sub-contractor - Rejection on the ground that Section 102 exempts services rendered to a Government, a local Authority or a Government Authority and does not exempt services rendered to a private company which in this case is M/s NBCC. Revenue states that the main contractor M/s NBCC could have applied for refund under Section 102 but have not done so. Because the main contractor had failed to apply for refund, it does not mean that the sub-contractor can claim refund of that amount. HELD THAT:- It is not in dispute that the ultimate client in this case is University of Lucknow which is an educational establishment. “ONGC Centre of Advanced Studies” of this educational establishment was being constructed by the main contractor M/s NBCC and a portion or that work has been sub-contracted to the Appellant. The exemption available to the services provided to University of Lucknow does not depend on whether such services are provided directly by the main contractor or by the main contractor using the services of a sub-contractor. In view of the above, it is found that on merits, the services rendered by the Appellant through the main contractor to University of Lucknow are exempted under Section 102 of the Finance Act, 1994. The application for refund has been filed within the time stipulated in the Section. As long as the service is rendered to a client, the taxability has to be decided accordingly regardless of whether the service was rendered directly by the main contractor or through a subcontractor or through a sub-sub-contractor. Accordingly, the Appellant is not liable to pay service tax as he has already paid the same and he is entitled to refund under Section 102 of the Finance Act, 1994. The impugned order set aside - appeal allowed.
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