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2024 (3) TMI 230 - AT - Service TaxCENVAT Credit - common input services used for taxable as well as exempt services - appellant was discharging their service tax liability by availing the benefit of Notification No.1/2006-ST dated 01.03.2006 - industrial & commercial construction service - erection, commissioning and installation service - HELD THAT:- It is not in dispute by the Revenue that the appellant has taken the activities of erection, commissioning and installation services along with materials. Therefore, the merits classification of the above services under “Works Contract Service” and no demand is raised against the appellant under “Works Contract Service” prior to 01.06.2007. Therefore, following the decision of the 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], wherein the Hon’ble Apex Court has observed Section 67 of the Finance Act, which speaks of “gross amount charged”, only speaks of the “gross amount charged” for service provided and not the gross amount of the works contract as a whole from which various deductions have to be made to arrive at the service element in the said contract. Therefore, no demand is sustainable against the appellant as the demand has not been raised under “Works Contract Service” - the merits classification of the activity undertaken by the appellant falls under the category of “Works Contract Service”. Therefore, no demand is sustainable against the appellant as no show-cause notice has been issued to demand service tax from the appellant under “Works Contract Service”. Appeal disposed off.
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