TMI Blog2011 (2) TMI 683X X X X Extracts X X X X X X X X Extracts X X X X ..... he adjudicating authority. Therefore, the services rendered to MES during the impugned period are not liable to service tax - Further find that during the impugned period, the service tax is leviable on the value of the service provided - It is admitted fact that the appellants have not provided service separately and charged service tax seperataly - Therefore, appellants are entitled for cum service tax benefit, this aspect has also not been considered by the adjudicating authority - Therefore, it would be appropriate in the interest of justice that the adjudicating authority shall examine the issue in view of the above observations and pass appropriate orders - Thus, the appeal is allowed by way of remand. - ST/214 of 2010 - ST/158/2011( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... adjudicated and the impugned demands were confirmed. Aggrieved by the said order, the appellants are before us. 3. Learned Advocate for the appellants submitted that the appellants are executing turnkey contracts for designing, supplying, installing and commissioning of heating, ventilation and air conditioning systems for lump sum price to the military engineering services, airport authorities and railway. In terms of the agreements entered into with their Customers, the appellants were responsible to hand over functional systems to the customers. It was contended that during the course execution of works contract service, the appellants have discharged their liability to VAT/sales tax on the value of goods passed on to the customers. He ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Oil Tanking Limited - 2010 (25) STT 327 = 2010 (18) S.T.R. 577 (Tribunal) wherein this Tribunal has held that turnkey contracts were not taxable prior to 1-6-2007. He submits that as the show cause notice has been issued on the basis that the appellants are engaged in the service of erection, commissioning and installation. So the demand prior to 1-6-2007 under the category of work contract is not sustainable as there is no demand can be raised under this category. He further submitted that the extended period is not invokable in this case, as the appellants have not suppressed any relevant facts with intent to evade payment of service tax when the Commissioner, himself has classified the activity undertaken by the appellants under 2 diffe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... On the other hand, learned SDR reiterated the findings in the impugned order and submitted that the adjudicating authority has passed the impugned order after taking into account all the submissions of the appellants which are raised by them before this Tribunal today. Hence, the appellants should be asked to make some pre-deposit at this stage. 10. Heard and considered. 11. After hearing both sides at length and examination of the records in detail, we find that the appeal can also be disposed of at this stage. Therefore, after waiving the conditions of pre-deposit, we find that it would be appropriate to dispose of the appeal at this stage with the consent of both the sides. Therefore, we take up the appeal for consideration. 12. W ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irs and maintenance services are linked with a building/structure which are not used for commercial activities such service may not be taxable. Formation concerned may apprise the Service Tax Deptt. 13. The repairs and maintenance services are linked with a building/structure which are not used for commercial activities such service may not be taxable. As MES (a Department of Ministry of Defence) is not involved in any commercial activity, therefore any service rendered to them is not taxable. This issue has also not been dealt with by the adjudicating authority. Therefore, the services rendered to MES during the impugned period are not liable to service tax. We further find that during the impugned period, the service tax is leviable on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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