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2018 (12) TMI 1788 - AT - Service TaxShort payment of service tax - Commercial industrial building and civil structures and work contract service - service tax on construction of college Building not paid - appellant's case is that services of construction of college building, are exempted from payment of service tax vide Board Circular No. 80/10/2004-ST dated 17 September 2004 - HELD THAT:- The tax invoices issued by the appellant to M/s Devi Shakuntala Thakral Charitable Foundation for construction of college building are all dated before 01 July 2012, we also find that as per the provision of point of taxation Rule 11, the date of invoice is relevant for application of the service tax liability as the completion of the service has been before 01 April 2012 when the new service tax regime has come into operation and invoices has raised much before 01 July 2012 - the scope of applicability of the service tax with regard to the construction service for charitable institution, education institution, as mentioned above, have been exempted since there is no denying of the fact that the construction undertaken by the appellant was of a education institution, therefore, the service provided by the appellant to M/s Devi Shakuntala Thakral Charitable Foundation was not taxable - demand set aside. Whether it is a fact that appellant have provided work contract service to M/s Central Warehousing Corporation and Industrial Rail Warehousing Company after 01 July 2012 and as per the provisions of Notification No. 30/2012 dated 20 June 2012 - whether the appellant was only liable to pay 50% of service tax due on the services provided by them to above-mentioned cooperate bodies? - HELD THAT:- It is a matter of record that the construction activity undertaken by the appellant involved both supply of the goods as well as supply of the labour and services and, therefore, as per the definition of the work contract service and as held by Hon‟ble Apex Court in the case of COMMISSIONER, CENTRAL EXCISE & CUSTOMS VERSUS M/S LARSEN & TOUBRO LTD. AND OTHERS [2015 (8) TMI 749 - SUPREME COURT], the activity of the appellant is rightly classifiable under the category of the work contract service as per the provisions of Section 65 (105) (zzzza) - The Notification No. 30/2012 dated 20 June 2012 provides that when any individual, or Hindu undivided family or partnership firms provides a work contract service to a registered body cooperate, the service tax payable by the provider of the service will be 50% and the balance 50% of the service tax need to be paid by the recipient of the service - the construction activity undertaken by the appellant for M/s CWC and others is rightly classifiable under work contract service - demand do not arise. There is no service tax liability emerges on the appellant on both the counts and, therefore, the order-in-appeal is without any merit and, therefore, set aside - appeal allowed - decided in favor of appellant.
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