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2018 (11) TMI 845 - AT - Service TaxCargo Handling Services - transport of materials from the plant to the yard of the appellants and thereafter the appellants do the said processes and reload the material into trailers and trucks for despatch to the customers - services associated with the production and manufacture of products by their clients M/s RINL - Business Auxiliary service. Service tax on straightening and cutting of TMT bars - Held that:- Department themselves were of the view that these activities amount to manufacture and had agitated the matter before the Tribunal and Supreme Court. It has been finally settled by Hon’ble Supreme Court that the process of cutting and bending is not a process of manufacture and no Excise Duty is payable on these activities. Therefore, the services rendered by the appellant by processing the goods manufactured by RINL are exigible to service tax - payment of service tax and interest within the normal period is liable to be confirmed - demand for the extended period is liable to be set aside. Service tax on Cargo Handling Service - Held that:- The cargo handling undertaken by appellant in the form of loading and unloading are a separate service for which separate amount was paid by their client and the transportation service rendered by the appellant was a separate service for which a separate amount was paid by their client. Thus, the cargo handling services are chargeable to service tax at the hands of the appellant - However, for the purpose of computation of cargo handling service, the amounts which were paid to them for transportation have also been included in the impugned order. These amounts need to be deducted as the transportation is an independent service and does not form part of the cargo handling service rendered by them. Appeal disposed off.
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