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TMI Blog2016 (10) TMI 682X X X X Extracts X X X X X X X X Extracts X X X X ..... ndent. 3. As per facts on record the assessee were placed with a purchase order by M/s Kurlon, Malanpur for supply of Fire Hydrant System totaling amounting to Rs. 25,76,925/-, vide purchase order dated 20th June, 2007. The said goods were supplied by the respondent under the cover of invoices dated 27th December 2007. 4. Revenue was of the view that the appellants have undertaken the installation of the said Fire Hydrant System and as such they are liable to pay service tax to the tune of Rs. 1,10,424/-. On indicating the same to the assessee, they deposited the tax alongwith interest vide challan dated 20th August 2008 and also filed a refund claim subsequently on the ground that no services stand provided by them and the entire purchas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the VAT has been paid on the entire contract value is no ground for holding that services were not provided by the assessee, as has been held by the Hon'ble Supreme Court in the case of Idea Mobile. 8. We have gone through the entire purchase order and the various clauses to which our attention stands drawn. There is no clause directly on the issue, requiring the assessee to do the installation and commissioning of the Fire Hydrant System. The various clauses are only to the effect that after the delivery of the goods, the respondent has to depute competent technical people for assembly, erection and commissioning and if the assessee is not available during the commissioning etc. there is a penalty clause. 9. Learned Advocate explai ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction and commissioning, such activities have to be held as incidental to delivery of goods to the customers. Admittedly in the present case, the appellant has paid sales tax on the entire value of the goods sold by them and the invoice raised by them also reveals only the sale of goods. As already observed, in the purchase order also the reference is only to supply of goods and no part of the contract, requires the assessee to undertake the job of erection and commissioning etc. No value of the said services stand separately mentioned in the purchase order. We also find favour in the assessee's contention that in terms of Notification Noel 2/2003-ST, the value of the goods has to be taken out for the purpose of arriving at the value o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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