Taxability on Ready Mix Concrate

[Hiren Patel]

In the case of M/s Larsen & Toubro Ltd. & Another, ECC Construction Group Versus Commissioner of Central Excise, Hydrabad 2015 (10) TMI 612 - Supreme Court, SC has decided that RMC and CM are different product and thus RMC is not covered under notification no 4/1997 so it is liable for tax. So weather RMC made at site for the construction work of Bridge and road is taxable?

AI Summary

Supreme Court Rules Ready Mix Concrete Taxable; Distinguishes from Concrete Mix under Notification No. 4/1997 A query was raised about the taxability of Ready Mix Concrete (RMC) made at a construction site, referencing a Supreme Court decision involving M/s Larsen & Toubro Ltd. The court distinguished RMC from Concrete Mix (CM), ruling that RMC is not exempt under Notification No. 4/1997 and is therefore taxable. A reply highlighted that previous tribunal and high court decisions, which equated RMC with CM under Notification No. 41/97, were overturned by the Supreme Court. The case was remanded to the adjudicating authority for reconsideration, emphasizing that RMC and CM are distinct products for tax purposes.