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2022 (12) TMI 466 - AT - Service TaxClassification of services - cargo handling service/mining service or not - whether the appellant had provided cargo handling service for the period 01.06.2007 and mining service for the period 01.06.2007 or had provided transport of goods by road service? HELD THAT:- The taxable service of mining under section 65 (105) (zzzy) of the Finance Act means any service provided or to be provided to any person by any other person, in relation to mining of mineral, oil or gas. The Commissioner has placed reliance upon the definition of mines under the Mines Act, 1952 and has observed that all processing including handling and movement of coal from one point of mines to dispatch point of mines are activities carried out in relation to mining of minerals. The issue as to was whether coal transported from pitheads of the mines to the railway sidings would fall within the taxable service defined under section 65 (105) (zzzy) of the Finance Act was examined by the Supreme Court in COMMISSIONER OF CENTRAL EXCISE AND SERVICE TAX, RAIPUR VERSUS SINGH TRANSPORTERS [2017 (7) TMI 494 - SUPREME COURT]. The Supreme Court held that the activity would appropriately be classified under the head transport of goods by road service and the activity does not involve any taxable service in relation to mining of mineral as contemplated under section 65(105) (zzzy) of the Finance Act. The Supreme Court also held that the definition of mines has no apparent nexus with the activity undertaken under the service rendered. It would be seen that the Supreme Court categorically held that the activity undertaken by the appellant would fall under the head transportation of goods by road service. The Commissioner (Appeals) was, therefore, not justified in holding that the appellant had undertaken the activity of mining service w.e.f. 01.06.2007. The appellant had, therefore, not provided “cargo handling” service prior to 01.06.2007 under section 65(23) of the Finance Act and mining service w.e.f. 01.06.2007. The order dated 04.11.2015 passed by the Commissioner (Appeals), therefore, cannot be sustained - Appeal allowed.
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