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2010 (7) TMI 335 - AT - Service TaxAppellant is engaged in the manufacture of various electrical equipments such as transformers, circuit breakers, machinery and parts thereof - Appellant also executes turnkey contracts for supply, erection, installation and commissioning of power transmission and distribution systems - Commissioner of Central Excise and Service tax stated that appellant is liable to pay service tax on the taxable services provided - accordingly confirm the demand of service tax - interest at the applicable rate as per the provisions of Section 75 of the Finance Act, 1994 - imposed penalty under section 78 - Revenue submission that in the context of Turnkey and EPC contracts, the contract would typically comprise of design, engineering, procurement and construction of a facility and provide for start-up procedures, performance tests, creation of operating manuals and training of personnel which would definitely apply only to composite contract for supply of goods and services - Held that: - service rendered by the Company had not been included under the definition of consulting engineer prior to 2006 as it stood under Section 65(13) - service rendered by the assessee - Company during relevant period cannot be brought under the category of consulting engineer - assessee falls under Section 65(105)(zzzza) Explanation (a) and (e) - under the definition of works contract, but the revenue has no power to call upon the assessee to pay service tax, interest and penalty therein, since the provisions of law has come into force with effect from 1-6-2007 - disposed off the appeal on the question of the same being covered under the category of works contract - appeal is dismissed
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