TMI Blog2017 (3) TMI 1021X X X X Extracts X X X X X X X X Extracts X X X X ..... - decided in favor of appellant. - ST/419/2007 - A/30239-2017 - Dated:- 21-2-2017 - Mr. (Dr.) Satish Chandra, President And Mr. Madhu Mohan Damodhar, Member (Technical) Sh. Vijay Kumar Sh. K.S. Krishna Prasad; Advocates for the Appellant. Sh. Arun Kumar, Deputy Commissioner (AR) for the Respondent. [Order per (Dr.) Satish Chandra] 1. Issue in question is liability to discharge service tax on the services provided by the appellant. Department has taken the view that the services are cargo handling services and liable to service tax. in adjudication proceedings a demand thereto of ₹ 20,19,552/- with interest liability thereon and imposition of penalties under Sections 76, 77 and 78 of the Finance Act, 1994 were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppropriately taxable under GTA Service with effect from 01.01.2005 and no tax can be demanded for the period prior to 01.01.2005 under any other entry. (v) Their business activity of movement of house hold goods appropriately fits into Goods Transport Agency and not under Cargo Handling Service as defined under Section 65 (23) of the Finance Act, 1994. (vi) Same is also covered by CBEC circular No. 104/7/2008-ST dated 06.08.2008 which clarified that the activity merits classification under GTA service. 3. On the other hand, Ld. AR Sh. Arun Kumar supports the adjudication. 4. Heard both sides and have gone through the facts. There is no doubt that the activity of the appellants during the impugned period has been clarifi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ortation of goods by road. The contention that a single composite service should not be broken into its components and classified as separate services is a well-accepted principle of classification. As clarified earlier vide F.No. 334/4/2006-TRU dated 28.2.2006 (para 3.2 and 3.3) and F.No.334.1/2008-TRU dated 29.2.2008 (para 32 and 3.3), a composite service, even if it consists of more than one service, should be treated as a single service base on the main or principal service and accordingly classified. While taking a view, principle is to identify the essential features of the transaction. The method of invoicing does not alter the single composite nature of the service and classification in such cases are based on essential character by ..... X X X X Extracts X X X X X X X X Extracts X X X X
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