TMI Blog2019 (9) TMI 648X X X X Extracts X X X X X X X X Extracts X X X X ..... interpretation. Construction of residential complex services provides a more specific classification than works contract service and accordingly will prevail over the other classification. Also, the issue covered by the decision in the case of FRONTLINE BUILDERS AND DEVELOPERS VERSUS COMMISSIONER OF CENTRAL EXCISE, CUSTOMS AND SERVICE TAX, CALICUT [ 2017 (12) TMI 1440 - CESTAT BANGALORE] where it was held that merely classifying the services under a different head does not tantamount to mis-declaration and therefore it is not open for the department to reopen the assessment in case of VCES unless there is a substantial mis-declaration otherwise. Appeal dismissed - decided against Revenue. - Service Tax Appeal No. 30741 of 2016, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ingly. After following due process, the Commissioner of Service Tax dropped the proceedings. Hence the department has filed these appeals. 2. The ld. AR appearing for appellant / department reiterated the grounds of appeal. 3. Learned counsel for the respondent submitted that an identical issue came up before the Hon ble Tribunal Bangalore in the case of Frontline Builders and Developers Vs CCE, C ST [2018(10) GSTL 545 (Tri-Bang)] and it was held in para 9 10 as follows. 9. After going through the records, we note that the total amount of consideration received by the appellant has not been found to be any different from what was declared. The adjudicating authority has only taken a differe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... der and allow the appeal. However, we make it clear that tax liability accepted in the VCES by the appellant is not being interfered. The facts of the case reveal that there is no dispute as to the value of services declared by the respondents. The allegation of mis-declaration is only with respect to classification of the services. The respondent classified the services as Construction of Residential Complex Services whereas department classifies it as Works Contract Service. This is only an issue of interpretation. The ratio of the decision in Frontline Builders Developers (supra) is that merely classifying the services under a different head does nottantamount to mis-declaration and therefore it is not open for the depa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rvice provider for providing the works contract service has been deemed to be the value of goods supplied in such a composite contract. Considering the fact that construction of a complex, building, civil structure etc. is a works contract which involves not only transfer or property in goods but also immovable property, a higher abatement from the amount charged for providing such service has been provided under notification No. 1/2006 - ST [SI. No.1D(a)] for the period 1.7.2010 to 30.6.2012 and under notification No. 26/2012 - ST [SI. No.12] for the period with effect from 1.7.2012. Construction of residential complex services provides a more specific classification than works contract service and accordingly will prevail ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
