Interim permission for service tax payment on pre-2007 works contracts executed later was granted pending writ disposal.

Interim relief was sought to permit payment of service tax on works contracts entered into before 01.06.2007 but executed after that date, under Section 65(105)(zzzza) of the Finance Act, 2007. The application was made under Section 151 CPC in a writ proceeding, and the HC issued an interim direction in the terms requested. The operative effect was to allow payment of service tax as sought, pending disposal of the writ petition.

---

---

Issues: Whether interim direction could be issued permitting payment of service tax on works contracts entered into prior to 01.06.2007 and executed after 01.06.2007.

Analysis: The application was made under Section 151 of the Code of Civil Procedure, 1908 seeking permission to pay service tax under Section 65(105)(zzzza) of the Finance Act, 2007 in respect of works contracts that were entered into before the specified date but executed thereafter. The Court granted an interim direction in the terms sought.

Conclusion: Interim relief was granted in favour of the petitioner, permitting payment of service tax as sought pending disposal of the writ petition.

---