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2017 (5) TMI 1028 - AT - Service TaxInterpretation of statute - GTA service - Reverse Charge Mechanism - demand of service tax on GTA services, where the freight paid exceeded ₹ 750/- but did not exceed ₹ 1,500/- per consignment - N/N. 34/2004-ST - The Commissioner interpreted the said notification to the effect that when the goods carriage carried only a single consignment clause (i) can be made applicable, to allow exemption - Held that: - The gross amount charged on an individual consignment transported in a goods carriage is specifically mentioned in Clause (ii) of the notification - In the present case, the individual consignment transported in a single lorry had freight amount exceeding ₹ 750/-, thereby clearly attracting provisions of Clause (ii). Clause (i) will apply where the gross amount charged on consignments transporter in a goods carriage does not exceed ₹ 1,500/- - admittedly, there is no multiple consignments. We find no need to take a single consignment, with no other consignment in the same lorry, to be covered under the category of clause (i). Such interpretation will be against the plain reading and also will make the operation of the notification difficult in different situations, of individual consignments having freight of below ₹ 750/-/above ₹ 750/- and also above ₹ 1,500/- - where an assessee incurred freight upto ₹ 1500/- per consignment the assessee is not eligible for exemption. Appeal allowed - decided in favor of Revenue.
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