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2018 (6) TMI 925 - AT - Service TaxConstruction of residential complex - appellant is mainly engaged in promotion of residential complex - whether service tax is payable for the construction of residential complex service in respect of the dwelling units constructed by the assessee prior to 1.7.2010 i.e. before introduction of the Explanation to the Section 65(105)(zzzh) and thereafter? - Held that:- Though it is discussed in the order that the promoter / assessee has sold the USD in the land to a few prospective buyers, there is no document to substantiate the same - The permission certificate for construction of the complex as well as the completion certificate is issued in the name of the assessee. These documents therefore strongly indicate that the land belongs to assessee till the completion of construction. In the instant case, prior to 1.7.2010, the levy of service tax cannot sustain for the reason that the assessee is the land owner and the construction done by himself without engaging a contractor would amount to self-service. The amendment brought to effect a deeming fiction, that if any sum is received from the prospective buyer before grant of completion certificate would be construction of residential complex service. The said amendment is prospective in nature and would be effective only after 1.7.2010 - However, in the instant case, the completion certificate shows that the construction activity has been completed on 19.11.2008. The provision of service, which is the taxable event during the impugned period happened prior to 1.7.2010. Therefore, the said amendment cannot be pressed upon the assessee to demand service tax. Demand cannot sustain - appeal allowed - decided in favor of appellant.
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