TMI Blog2017 (12) TMI 170X X X X Extracts X X X X X X X X Extracts X X X X ..... are to be submitted by the appellants as a provider of service. They are obliged by law to provide such data. Composite services or not? - Held that: - the impugned orders suffer from various infirmities attributable to factual appreciation and quantification. The tax liability of composite works contract is to be determined in line with the decision of Hon’ble Supreme Court in Larsen & Toubro Limited [2015 (8) TMI 749 - SUPREME COURT]. The tax liability on such contract will arise only with effect from 01.06.2007. The quantification on taxable value should be based on the actual receipts of consideration by the appellant. There can be no levy of service tax on composite works contract for the period prior to 01.06.2007. The impugned ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nces from balance-sheets. For the year 2011-12, estimated taxable value has been taken in place of actual accounts. He further contended that demand of ₹ 2.61 crores, which is covered in the earlier proceedings, was again included in the second proceedings. The works contract service is not liable to service tax prior to 01.06.2007. The rate applicable to the works contract composition should be as per the date of execution of contract and not based on the date of receipt of consideration. The ld Counsel contended that the same contract has been subjected to different rates and classification under various tax entries. There is no identification or quantification of tax liability for proper computation contract-wise, year-wise. 3. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the lower authority. He submitted that all through-out the proceedings, the appellants did not come forward with full particulars with supporting evidence. In the name of official secrecy for contracts with the Defence Ministry, the appellants did not cooperate with the department. In the absence of supporting evidence like details of contracts, payment schedule, actual receipts, the adjudicating authority is put to difficulty in examining all the contentions of the appellant. The appellants made various submissions but failed to provide supporting documentary evidence. This has been recorded by original authority. 5. We have heard both sides and perused appeal record. As noted above, as part of the submissions by the ld Counsel for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rate of duty applicable for such composition in respect of the same contract spread-over many years. The rate of duty for composition was increased from 2% to 4%. From 01.03.2008, the appellant contested that the revised rate after enhancement is not applicable to continuing works contract in the absence of machinery for such split-up value for applying the said enhanced rate. We are not in agreement with such proposition. Though the option for composition exercise for a particular contract is for the whole contract, the Revenue cannot be denied increased rate of duty applicable to the said contract. The case laws relied upon by the appellant and the submissions made regarding a promissory estoppel are not relevant to the facts of the prese ..... X X X X Extracts X X X X X X X X Extracts X X X X
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