Appeal Allowed: No Service Tax for Marble Transport Services without Consignment Note

The Tribunal set aside the impugned order and allowed the appeal, ruling that the appellant was not liable to pay service tax for transportation services of marble blocks as the services were not provided by a Goods Transport Agency due to the absence of a consignment note. The decision was based on the definition of taxable service and requirements for services provided by a Goods Transport Agency, as outlined in previous judgments and relevant tax rules.

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Issues:
Service tax liability on the appellant as a service receiver for availing transportation services of marble blocks without paying service tax.

Analysis:
The appeal was filed against the impugned Orders-in-Appeal where the appellant was found not paying service tax on transportation services of marble blocks. The Revenue contended that as a registered company under the Companies Act, the appellant fell under Rule 2(1)(d)(v) of Service Tax Rules, 1994, making them liable to pay service tax. The impugned order demanded a specific amount as service tax with interest and penalties. The appellant argued that the transportation was not by goods transport agency but individual truck operators, hence no service tax was due. Several case laws were cited to support this argument.

The Tribunal analyzed the case in light of previous judgments and highlighted the definition of taxable service under Section 65(105)(zzp) and the requirements for a service to be provided by a Goods Transport Agency. It was noted that a Goods Transport Agency must issue a consignment note as per Rule 4B of the Service Tax Rules, which was not done in this case. The Tribunal emphasized that transportation without the issuance of consignment notes or other required documents does not fall under the service of a Goods Transport Agency. Therefore, the service tax liability on the appellant was deemed not applicable based on the cited judgments.

In conclusion, the Tribunal, following the precedent set by the co-ordinate Bench decision, set aside the impugned order and allowed the appeal. The pronouncement was made in the open court on a specific date.

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