TMI Blog2024 (3) TMI 639X X X X Extracts X X X X X X X X Extracts X X X X ..... ervice to the lessee / tenants, in our view, cannot be sustained. The issue of eligibility to service tax of these reimbursable expenses viz. water charges and electricity charges is no more res integra and covered by the judgment of this Tribunal in the case of M/S ICC REALITY (INDIA) PVT LTD OTHERS VERSUS COMMISSIONER OF CENTRAL EXCISE [ 2013 (12) TMI 854 - CESTAT MUMBAI] and Kiran Gems Pvt. Ltd. Vs. CCE ST, Surat [ 2018 (11) TMI 1388 - CESTAT AHMEDABAD] , where it was held that the said facility charges are not leviable to service tax. Extended period of Limitation - HELD THAT:- It is found that the appellant was paying service tax under the category of Renting of Immovable Property Service and were filing ST-3 Returns periodically with ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... office and customs bonded warehouse are located in the building and the remaining space is let out by the appellant for business commerce purposes. Alleging that the appellant had provided infrastructural facilities to the units accommodated in their building Padmanabham by way of providing electricity, water, uninterrupted power supply etc., show-cause notice was issued to them demanding service tax under the taxable category of Business Support Service amounting to Rs.1,34,45,767/- for the period 01/05/2006 to 31/03/2010 with interest and proposed for penalty. On adjudication, the demand was confirmed with interest and penalty. Hence the present appeal. 3. At the outset, the learned advocate for the appellant has submitted that the appel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ality (India) Pvt. Ltd. Vs. CCE, Pune [2013(32) STR 427 (Tri. Mumbai)]. 3.1. Further they have submitted that the classification under Business Support Service as held in the impugned order cannot be sustained. The activities like transaction processing, routine administration or accountancy, customer relationship management, telemarketing etc. are covered under the scope of Business Support Service . Infrastructural Support Service also included under the explanation added to the definition of Business Support Service. The nature and ambit of the said service have been explained in the circular No.334/4/2006-TRU dt. 28/02/2006. In the said circular, it is clarified that Infrastructural Support Service covers provision of instant offices al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tax under Renting of Immovable Property Service . It is their contention that in the lease deed entered with the tenants, it is stipulated that the charges for power, water and other utility services shall be separately payable as incurred by the tenants /lessee to designated agencies / Technopark. They have argued that for smooth and uninterrupted functioning of the offices, the said charges are initially paid by the appellant to the Technopark and later collected from the tenants. Revenue proposed to levy service tax on these charges under the taxable category of Business Support Service. 7.2. We have examined the lease deed dt. 01/06/2007 entered between the appellant and one M/s. Asian School of Business for lease of 11,300 sft of buil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -TIOL-1866-CESTAT-DEL] iv. CGST CE, Chennai Vs. Ticel Bio Park Ltd. [2018-TIOL-2195-CESTAT-MAD] and held that the said facility charges are not leviable to service tax. 8. Further, we find that the appellant was paying service tax under the category of Renting of Immovable Property Service and were filing ST-3 Returns periodically with the Department. Hence, suppression of facts, willful misstatement with intent to evade tax etc. cannot be fastened upon the appellant alleging non-payment of service tax. Accordingly, invocation of extended period in confirming the demand on the facility charges, when the same is reflected in the Lease Deed is not sustainable. 9. Following the aforesaid settled principles on the subject, the electricity and w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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