https://www.taxtmi.com/caselaws?id=769044 CESTAT Bangalore held that appellant's contract with port for sand removal was a sale transaction, not a dredging service liable to service tax. Despite the activity constituting dredging, the contract terms required appellant to pay 30% of net sale price as consideration for sand removed. No payment was made by port to appellant for services. Relying on SC precedent that service tax cannot be levied on material sale transactions between parties, the tribunal distinguished this from pure dredging services. The demand for service tax was unsustainable as the activity constituted sand sale rather than provision of dredging services. Appeal allowed. en-us Thu, 19 Dec 2024 00:00:00 +0530 Fri, 18 Apr 2025 08:38:16 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=769044 CESTAT Bangalore held that appellant's contract with port for sand removal was a sale transaction, not a dredging service liable to service tax. Despite the activity constituting dredging, the contract terms required appellant to pay 30% of net sale price as consideration for sand removed. No payment was made by port to appellant for services. Relying on SC precedent that service tax cannot be levied on material sale transactions between parties, the tribunal distinguished this from pure dredging services. The demand for service tax was unsustainable as the activity constituted sand sale rather than provision of dredging services. Appeal allowed. Case-Laws Service Tax Thu, 19 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=769044