TMI Blog2019 (11) TMI 678X X X X Extracts X X X X X X X X Extracts X X X X ..... ties of construction of complex developed by Nagar Panchayat, building of private college and boundary wall of different parties undertaken by the appellant and are liable to be taxed under Construction Services or Works Contract Services as same has been provided alongwith material? - HELD THAT:- The issue has already been settled by the decision of the Hon ble Apex Court in the case of Larson Toubro Ltd. [ 2015 (8) TMI 749 - SUPREME COURT ] wherein it has been held that prior to 01.06.2007, if service is provided alongwith material, no service tax is payable by the assessee. Further, for the period, post 01.06.2007, the demand of service tax can be made only under Works Contract Services - Admittedly, in the case in hand, for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stances, we hold that the appellant is entitled for the benefit of Notification No. 01/2006-ST dated 01.03.2006. The appellant is not liable to pay service tax - Appeal allowed - decided in favor of appellant. - Appeal No. ST/408/2011 - A/61015/2019 - Dated:- 13-11-2019 - Mr. ASHOK JINDAL, MEMBER (JUDICIAL) AND Mr. C L MAHAR, MEMBER (TECHNICAL) Ms. Krati Somani, Advocate for the Appellant Shri H. S. Bara, Authorised Representative for the Respondent ORDER The appellant is in appeal against the demand of service tax of ₹ 4,52,42,094/- alongwith interest and various penalties under the Finance Act, 1944. 2. The facts of the case are that the appellant i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... college and boundary wall of different parties. Service Tax was also proposed on TDS deducted from the payments released by various parties, amount adjusted on account of electricity charges, water expenses and ESI expenses, retention money and mobilisation of advances. Service tax was also proposed on material supplied free of cost by the service recipient. It is also proposed for denial of abatement under Notification No. 01/2006-ST dated 01.03.2006 on the ground that the appellant has availed cenvat credit on Telecom Services. The matter was adjudicated, the demand of service tax was confirmed against the appellant alongwith interest and penalties were also imposed. The total period involved is September 2004 to March 2008. Against the s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ongwith interest before issuance of the show cause notice, in that circumstances, they are entitled for the benefit of Notification No. 01/2006-ST dated 01.03.2006 as held by this Tribunal in the case of JCT Ltd. vs. CCE, Jalandhar 2017 (345) ELT 289 (Tri.-Chan.). It is also submitted that the extended period of limitation is not invokable as the show cause notice has been issued on 16.04.2010 for the period September 2004 to March 2008 by invoking the extended period of limitation. The entire demand is barred by limitation as there was a dispute on the issue during the relevant period, therefore, no penalty is imposable on the appellant. 6. On the other hand, the Ld. AR relied upon the decision of the adjudicating authority ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant is not liable to pay any service tax. For the period, post 01.06.2007, there is no proposal made by the revenue under works contract service, therefore, in the light of the decision of Sristhi Constructions (supra), we hold that the service tax is not payable by the appellant wherein this Tribunal has observed as under:- In view of the above analysis, we hold that on merits, the appropriate classification of the services in question is Works Contract Service and show cause notices not allege to demand service tax under Woks Contract, therefore, the demand of service tax is set-aside. We also hold that extended period of limitation is not invokable. Accordingly, the impugned orders are set-aside and appeals ar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is also to be included. Therefore, the words in any form of payment are by means of issue of credit notes or debit notes and book adjustment. With the supply of free goods/materials by the service recipient, no case is made out that any credit notes or debit notes were issued or any book adjustments were made. Likewise, the words, any amount credited or debited, as the case may be , to any account whether called suspense account or by any other name, in the books of accounts of a person liable to pay service tax would not include the value of the goods supplied free as no amount was credited or debited in any account. In fact, this last portion is related to the debit or credit of the account of an associate enterprise and, therefore, ..... X X X X Extracts X X X X X X X X Extracts X X X X
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