TMI Blog2016 (2) TMI 873X X X X Extracts X X X X X X X X Extracts X X X X ..... d fair construction of the matrix and bouquet of service provided by the Appellant, considered in the light of the two taxable services i.e. ‘site formation’ on the one hand and ‘mining’ on the other, and applying the provisions of Section 65A of the Act, the conclusion is compelling that since the essential character of the services provided by the Appellant is mining of Lignite and removal of Over Burdens is an activity incidental to facilitate and effectuate mining of lignite and as the quantum of lignite mined is also, under the schedule of quantities of the agreement between the Appellant and GHCL is predominantly, the contract should be considered in essential character as a contract for mining of lignite. On this reasoning, the servi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1.2007 and confirmed the liability to tax alongwith penalties, as already specified. By a Miscellaneous Application filed in this appeal, the Appellant raised additional grounds contesting the classification of the services and as confirmed in the Adjudication order. This application to raise additional grounds was ordered on 22.02.2016, since the grounds raised were pure questions of law. 3. During the period 15.06.2005 to 28.02.2006, the Appellant under an agreement entered into with M/s Gujarat Heavy Chemicals Ltd, ( GHCL for short), a corporate entity, provided services which included hiring of heavy earth moving equipment for excavation and allied works at the Khadsaliya Lignite Mines. Under the variety works agreed to be executed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nstruction of the matrix and bouquet of service provided by the Appellant, considered in the light of the two taxable services i.e. site formation on the one hand and mining on the other, and applying the provisions of Section 65A of the Act, the conclusion is compelling that since the essential character of the services provided by the Appellant is mining of Lignite and removal of Over Burdens is an activity incidental to facilitate and effectuate mining of lignite and as the quantum of lignite mined is also, under the schedule of quantities of the agreement between the Appellant and GHCL is predominantly, the contract should be considered in essential character as a contract for mining of lignite. On this reasoning, the service provid ..... X X X X Extracts X X X X X X X X Extracts X X X X
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