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2017 (10) TMI 1186 - CESTAT NEW DELHICargo Handling Service - loading and transportation of fly ash in terms of contracts with Prism Cement, Satna - The appellants are put to service tax liability only on the ground that the agreement mentions loading as one of the item of work under the scope of contract. Further, unloading charges @ 10 Per MT is separately mentioned - Held that: - Admittedly the distance involved in movement of cargo is about 300 KM. In these factual circumstances, we find that allegation and finding that the amount of ₹ 450 Per MT is attributable mainly to cargo handling and incidentally to the transportation is not factually sustainable - Even considering the unloading charges separately mentioned as ₹ 10 Per MT, we find that the contract is overwhelmingly for the work of transporting the cargo of fly ash over a long distance of about 300 KM and unloading charges of about 2% of the transportation charges will not make the contract and the consideration, primarily meant for cargo handling services. There is no factual support for such inference. Appeal allowed - decided in favor of appellant.
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