Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2013 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (9) TMI 590 - AT - Service TaxService tax under the category, ‘Works Contract’ - Date of levy - stay - Service Tax liability has arisen on the appellant on the ground that the appellant had not discharged the correct Service Tax liability under the category of commercial and industrial construction services up to 01.06.07 for the contract entered by them with M/s Essar Oil Limited - Contract entered by the appellant with M/s Essar Oil Ltd. is a works contract - Appellant had discharged VAT applicable on such contract as and when running bills are raised and had filed returns with the VAT authorities – Held that:- Decision of Hon'ble High Court in the case of Indian National Shipowners Association [2009 (3) TMI 29 - BOMBAY HIGH COURT], had settled the law that as and when a new entry comes into existence in the statute for levy of Service Tax, it would indicate that the said entry was not covered by any services earlier. Appellant’s claim of the project being covered under works contract from 01.06.2007 is bonafide belief carried by the appellant as they had indicated in the return that they have received an amount as an advance for such contract - There are two views on this issue in as much as the Tribunal in the case of ABB Limited [2010 (7) TMI 335 - CESTAT, BANGALORE], held the view that Service Tax liability under the works contract will come into effect from 01.06.007 and it cannot be covered in any earlier entries while the decision of the co-ordinate Bench in the case of Alstom Projects India Ltd.[ 2011 (3) TMI 538 - CESTAT, NEW DELHI] , takes a different view. When there are two views possible and both the matter being contested before the Hon'ble Apex Court, the appellant’s proposition that it is covered by the Stay Order of co-ordinate Bench in the case of M.M. Constructions [2012 (12) TMI 301 - CESTAT, NEW DELHI], is correct – Appeal allowed – Waiver of pre-deposit allowed – stay granted.
|