TMI Blog2011 (10) TMI 439X X X X Extracts X X X X X X X X Extracts X X X X ..... ice tax is payable - service tax on “construction of complex services” is in vogue w.e.f. 16-6-2005 and, therefore, service tax is payable under the said category w.e.f. 16-6-2005. This position stands notwithstanding the introduction of “Works Contract Service” w.e.f. 1-6-2007 - The non-registration as a service provider in spite of their having entered a contract with the customers that “applicable service tax as shall be indicated and demanded by the builder/promoter shall be paid” and their furnishing the relevant details latest by 15-7-2009, go to show that the SCN dated 15-1-2010 may not be time-barred - Pre-dposite ordered partly. - ST/227/2011 - 786/2011 - Dated:- 20-10-2011 - Ms. Jyoti Balasundaram, Shri M. Veeraiyan, JJ. R ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t, children s play area and existence of common amenities, like sewage treatment plant, water treatment plant, and water distribution, swimming pool, gymnasium, club house, compound wall all around the compound etc. cannot be the basis to conclude that the 97 villages are part of residential complex. In this regard, he relies on the decision of the Hon ble High Court of Gujarat in the case of CST v. Shrinandnagar-IV Co.-Op. Housing Society Ltd. [2010 (23) S.T.R. 439 (Guj.)] and the decision of the Tribunal in the case of Macro Marvel Projects Ltd. v. CST, Chennai reported in 2008 (12) S.T.R. 603. 4.2 Further, referring to the definition of the taxable service , he submits that they are covered by the exclusion clause which reads as under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ayable. In support of this claim, he also refers to Circular No. 334/3/2010-TRU., dated 1-7-2010, particularly paragraph 2.1, wherein it has been clarified that no tax is payable in respect of advance payments for services which became taxable w.e.f. 1-7-2010 by way of introduction of new services or due to modification of existing services. 4.5 Alternatively, it is also submitted that the dispute involves interpretation of legal provisions and the belief entertained by the applicant that no tax was payable was a bona fide belief and, therefore, the SCN issued on 15-1-2010 demanding service tax relating to the period 1-6-2006 to 31-10-2008 is clearly time-barred and, on the same grounds, no penalties are imposable. 5. Ld. SDR, reiterati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ime club membership and corpus funds for maintenance of overall complex. Further, the villa owners are required to share the cost of repairs and maintenance and all common amenities on pro rata basis. (b) The definition of residential complex reads as under :- residential complex means any complex comprising of - (i) a building or buildings, having more than twelve residential units; (ii) a common area; and (iii) any one or more of facilities or services such as park, lift, parking space, community hall, common water supply or effluent treatment system. (iv) Located within a premises and the layout of such premises is approved by an authority under any law for the time being in force, but does not include a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as towards services deemed to have been rendered. This amendment could not be treated to imply that no service tax at all was payable on a specific service of construction of complex service prior to 1-7-2010 merely on the ground that the amounts were received in advance. (e) The decision in the case of CST v. Shrinandnagar basically dealt with the issue whether a housing society could be held to have rendered services to the members. Further, the decision has been rendered in the facts of the said case and the Hon ble High Court did not find any question of law arising for their consideration. The decision of the Tribunal in the case of Macro Marvel Projects Ltd. deals with a case involving construction of individual residential hous ..... X X X X Extracts X X X X X X X X Extracts X X X X
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