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2012 (9) TMI 851 - AT - Service TaxConstruction of residential complexes on own land and sale thereof of residential units - non-payment of service tax on ground that building was being constructed on their own land - Revenue contended that though the sale of the flats took place after completion, the respondents had taken advances from the respective buyers, hence it fall under "Construction of complex" u/s 65(105)(zzzh) of Finance Act, 1994 - assessee placing reliance on circular No. 332/35/2006-TRU and No. 19/7/07-ST issued by CBEC clarifying that when flats were constructed on the land belonging to a builder and flats are sold after completion of construction, no service tax will be leviable - period 16.6.05 to 25.3.06 - Held that:- High Court in case of Magus Construction Pvt Ltd. vs UOI (2008 (5) TMI 18 - HIGH COURT OF GAUHATI) held that department is binding by the circular issued by Board and hence activity in question is not subject to service tax. In view of aforesaid, during the impugned period, the activity in question could not be considered as service and subjected to service tax - Decided in favor of assessee.
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