Service tax on approach roads for weigh bridges was excluded from taxable value, supporting abatement eligibility.

Service tax was held not chargeable on the value of approach roads constructed only to enable vehicles to reach weigh bridges at customer sites. The roads were treated as incidental facilitation work, not as part of a residential complex or any composite taxable structure covered by the departmental circular relied upon. Their value was therefore excluded from the gross taxable value for the installation service, and the assessee was entitled to claim abatement under the relevant notifications. On that basis, the demand raised on the approach road component was found unsustainable.

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Issues: Whether service tax was chargeable on the value of approach roads constructed for weigh bridges installed at customer sites while computing the taxable value for abatement under the relevant service tax notifications.

Analysis: The approach roads were constructed only to facilitate movement of transport vehicles to the weigh bridges and were not part of the construction of residential complexes or any taxable composite structure covered by the departmental circular relied upon. Their value was therefore not includible in the gross taxable value for the service provided in relation to installation of weigh bridges, and the appellant was entitled to exclude that value while claiming abatement under the notifications.

Conclusion: The demand of service tax on the value of approach roads was not sustainable and the issue was decided in favour of the assessee.

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