Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2016 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (12) TMI 438 - CESTAT MUMBAIGTA service - reverse charge mechanism - whether the appellant/assessee is required to discharge the Service Tax liability on the inward freight paid by them to the lorry owners who transported the sugarcane from farmer to sugar factory under the category of Goods Transport Agency services or otherwise? - Held that: - It is undisputed that the appellant is sugar factory and covered under the notification which mandated for discharge of Service Tax liability by them on the services received from goods transport agency. However, in the facts of the case in hand, it is noticed that undisputedly the appellant/assessee have paid the inward freight charges to individual truck owner, who transported sugarcane from farmer to their factory. It is also undisputed there was no consignment notes issued by the said truck owners. On the above factual matrix, we find that the learned Counsel the appellant/assessee has correctly relied upon the decision of Tribunal in the case of Nandganj Sihori Sugar Co. Ltd. [2014 (5) TMI 138 - CESTAT NEW DELHI], where it was held that When the transports did not issue consignment notes or GRs or Challans or any documents containing the particular as prescribed in Explanation to Rule 4B of the Service Tax Rules, 1994, the Transporters cannot be called ‘Goods Transport Agency’ and, hence, in these cases, the service of transportation of sugarcane provided by the transporters would not be covered by Section 65(105)(zzp). As regards Revenue's appeal, we find that the Revenue is aggrieved by setting aside of the penalty by the first appellate authority. Since we have held in favour of appellant/assessee on merits itself, nothing survives in the appeal filed by the Revenue. Accordingly, Revenue's appeal is rejected. Appeal allowed - decided in favor of appellant-assessee.
|