TMI Blog2019 (11) TMI 676X X X X Extracts X X X X X X X X Extracts X X X X ..... cost of material to be supplied was shown. The invoices raised, also contained classification of the material as sales-tax free , sales against D-Form etc. Further in para 9 of the SCN, it is recorded that on scrutiny of the balance- sheet and profit and loss Account of the appellant for the period under dispute, it is revealed that Shri Raman Raina is the Proprietor of Cosmos Collection, is also Proprietor of M/s. Dream home during the Financial year 2005-06. Hon ble Supreme Court have held in the case of Larsen Toubro vs. Union of India [ 2015 (8) TMI 749 - SUPREME COURT ] that prior to 1st June, 2007, in any contract which is composite in nature, wherein both supply of material and labour is involved, such contract cannot be ch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such work included both supply of labour as well as supply of materials. Service Tax Registration was obtained under the head Commercial and Industrial Construction Service , as defined in Section 65 ( 25) (b) of the Finance Act. The appellant was separately showing in their bills for the interior work being done by them, the value of materials and the value of labour involved, and accordingly they charged Sales Tax on the material component and service tax on the labour component. Appellant also continued their business of trading wherein the sales invoices they charged VAT/Sales-Tax. Appellant was filing return both under the provisions of VAT and also under the provisions of service tax. 2. There was an audit by the Servic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and value of services and accordingly they have paid VAT on the material portion and service Tax on the labour/service portion. Further appellant denied the allegation that they have availed any Cenvat Credit on the inputs during the period 2008 09. 5. The SCN was adjudicated on contest vide impugned O-I-O dated 23rd November, 2011 by the ld. Commissioner, who was pleased to confirm a reduced amount of ₹ 53,27,428/- alongwith equal amount of penalty under Section 78. Further penalty was imposed under Section 76. Being aggrieved, the appellant is in appeal before this Tribunal. 6. Heard the parties and perused the case records. 7. On perusal of the show cause notice, the admitted fact is that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t to calculate service tax payable on the basis of the data available in the balance-sheets from 2004-05 to 2008-09. 8. We find that the appellant have maintained proper records of their transactions and have filed regular return with the Department. The appellant have also got their accounts audited by Chartered Accountant, annually. They have also filed regular returns with the Sales-tax Department for the sale of materials (both sales of material only and also for material used in execution of work contract). Hon ble Supreme Court have held in the case of Larsen Toubro vs. Union of India - 2015 (39) STR 913 (SC) that prior to 1st June, 2007, in any contract which is composite in nature, wherein both supply of material an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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