2009 (4) TMI 160

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..... have been held to be falling under the category of "Cargo Handling Services" and, accordingly, service tax demand amounting to Rs. 4,44,82,016/- relating to the period July, 2003 to March, 2006 has been confirmed in pursuance of five show cause notices issued to the applicant. 3. Learned Advocate submits that the contract entered into by the applicant with Bhilai Steel Plant is a composite contract; that the focus of the contract is processing the slag with a view to separate scrap from the same; that the break up of demand in the annexure to the show cause notice gives the gist of various activities undertaken and the rate at which service charges were paid to the applicant. It ranges from the lowest of Rs. 24.73 per M.T. in respect of .....

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..... the mines are not covered under "Cargo Handling Services". 4. Learned D.R. reiterates the findings of the Commissioner and draws our attention to the decision of the Tribunal in the case of ITW India Ltd. v. CCE & Cus., Bhubaneswar, reported in 2007 (8) S.T.R. 490 (Tri.-Kolkata). He also submits that all the activities covered by the agreement are only incidental and ancillary to the cargo handling operations. He also relies on the definition of the word "incidental" given in The American Heritage Dictionary of the English Language, Fourth Edition which is as under :- "1. Occurring or likely to occur as an unpredictable or minor accompaniment: the snag incidental to a changeover in upper management. 2. Of a minor, casual, or subordinate .....

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..... sp; Rs. 70.05 per MT received by the respondent Rs. 49.01 per MT relates to mining activities, Rs. 8/- per MT is for loading of lime stone etc. He contends that inasmuch as Rs. 8/- per MT is clearly identified as attributable to loading charges, the same should be treated as charges received for the service of cargo handling. According to him, the definition of the term cargo handling includes the activities of loading, unloading, packing etc. of cargo. 4. We have carefully considered the submissions. At the outset, we note that the contract is for a series of activities starting from mining to delivery of the lime stone to the designated place of the client. The findings of the Commissioner (Appeals) that the loading is incidental to mini .....

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