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2014 (4) TMI 174 - AT - Service TaxClassification of Works Contract Services - Revision of classification - Commercial or Industrial Construction Services to Works Contract Services - Held that:- The first show cause notice dated 22.10.2008 and its corrigendum dated 29.09.2009, were mainly targeted to deny the benefit of Composition Scheme to the appellant and to determine the taxable value as per Rule 2A of the Service Tax (Determination of Value) Rules, 2006 read with section 67 of the Finance Act, 1994. The provisions of Rule 2A and Composition Scheme deal only with the Works Contract Service under Section 65 (105) (zzzza). There was thus no doubt in the authority issuing show cause notice dated 22.10.2008 and its corrigendum dated 29.09.2009 that the classification of the services being dealt was ‘Works Contract Services’ with effect from 01.7.2006. Admissibility of composition scheme for ongoing Works Contracts as on 01.6.2007 has since been decided by Hon’ble Apex Court in the case of Nagarjuna Construction Company Limited vs. GOI [2012 (11) TMI 404 - SUPREME COURT] which was not available before the Adjudicating authority at the time of passing the adjudication order in 2010. Secondly Adjudicating authority has not considered Para 2 of the CBEC Circular No. 128/10/2010-ST dated 24.08.2010 which is binding on the filed formations. Further the issue of free supply of goods/ sale of goods in a works contract and its inclusion in the assessable value, is required to be examined in the light of judicial pronouncement of Delhi High Court in the case of G.D. Builders vs. UOI [2013 (11) TMI 1004 - DELHI HIGH COURT], read with Rule -2A of the Service Tax (Determination of Value) Rules, 2006. In the light of these observations and in the interest of justice, therefore, the matter is required to be remanded back to the Adjudicating authority to decide the cases afresh in de-novo proceedings - Decided in favour of assessee.
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