Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding


  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

2015 (11) TMI 476

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... rks contract and the option so exercised shall be applicable for the entire works contract and shall not be withdrawn until the completion of the said works contract. As such, it is seen from the said Rule that the option has to be exercised by the assessee who wants to discharge the service tax liability under the said category. In the present case, it was never the appellant who opted to pay under works contract but the Revenue required them to pay the tax under the works contract. In such a scenario, the question of assessee exercising any option before discharging the tax under the category of works contract does not arise at all. Such an view adopted by the adjudicating authority is neither appropriate nor legal inasmuch as the sam .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... letter dt. 26/06/2008. 3. Subsequently, Revenue entertained a view that with the introduction of the works contract service w.e.f. 01/06/2007, the appellant should have discharged their tax liability under the said category. Accordingly proceedings were initiated against them by way of show-cause notice dt. 22/10/2012 raising the demands under the said category for the period 01/01/2006 to 31/03/2012. 4. It is seen, during the course of adjudication, the appellant took various defences and also pleaded before the Commissioner that if the demand under the said works contract service is quantified properly by extending the various benefits available to them under the law, the same would result in dropping the entire demand inasmuch as t .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... evidences, learned advocate submits that they have all the evidences in the possession and as they were never called up by the adjudicating authority to produce the same, the same were not placed before him. If given a chance, they would do so. 7. After hearing the learned AR, we find that the appellants were not discharging their service tax liability under the category of works contract. The provisions of Rule 3(3) of the Works Contract (Composition Scheme for Payment of Service Tax) Rules, 2007 is to the effect that the provider of taxable service who opts to pay service tax under these Rules shall exercise such option in respect of a works contract service provided to payment of service tax in respect of the said works contract and .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates