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TMI Blog2014 (8) TMI 709X X X X Extracts X X X X X X X X Extracts X X X X ..... nder Explanation (ii) (b) of Section 65 (105) (zzzza) of the Finance Act 1994 or under Explanation (ii) (e) of Section 65 (105) (zzzza) of the Act. According to Revenue, the activities will be treated as project including Engineering, Procurement and Construction or Commissioning (EPC) projects. Hence there is a demand of tax of Rs. 2,07,67,270/- under the category of "Works Contract" service for the period 1.4.2008 to 31.3.2009 along with interest and penalty. 2. Ld. advocate on behalf of the applicant submits that the applicant undertook laying of pipelines to various projects of municipalities / local authorities for water supply and sewage removal and the activities would be covered under sub-section (ii) (d) of Section 65 (105) (zzzza ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntracts are clearly showing that the works are in the nature of EPC and turnkey basis and has a continuity of maintaining the project. She submits that it is not merely laying of pipeline and part of infrastructure project. She also submits that decision of the Tribunal in the case of Ramky Infrastructure Ltd. would clearly cover the present case. She particularly referred to para-11 of the said decision. She further submits that Tribunal in the case of Patel Engineering Ltd. Vs CCE Hyderabad - 2013-TIOL-1779-CESTAT-BANG. granted partial stay. 4. After hearing both sides and on perusal of records, we find that it is appropriate to reproduce the relevant portion of the Section 65 (105) (zzzza) of the Finance Act, 1994 as under:- &nbs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd that the scope of the contract is mainly to provide full scale laying pipe for water treatment unit. There is also reference of engineering, procurement, construction and commissioning (EPC) projects on turnkey basis. We have also seen that some contract would clearly evident to construct intake chamber providing ESR laying & Jointing of MS HDPE Pipeline. 6. The adjudicating authority proceeded on the basis that contracts are turnkey projects including engineering, procurement, construction and commissioning (EPC) projects and therefore it would be clearly covered under sub-section (ii) (e) of Section 65 (105) (zzzza) of the Act. It is observed that some of the contracts are clearly showing that the contracts are on turnkey basis. We fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e. The finding of the Tribunal in the case of Megha Engineering Ltd. (supra) is as under:- "7. For the period subsequent to 01/06/2007, the contracts which were considered by the adjudicating authority are set out in para 17.2 of the order. Summary of the works/services provided by the petitioner under the 11 enumerated agreements (set out in this para) indicates that some of the works/services may not amount to construction of a pipeline or conduit falling within the scope of Section 65(105)(zzzza)(b), in particular the contracts summarized at Sl. Nos. 1, 5 & 6 of the table in para 17.2 of the order. The learned counsel for the petitioner however asserts that all these works are in relation to laying of pipelines or in ..... X X X X Extracts X X X X X X X X Extracts X X X X
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