TaxTMI 
TaxTMI 
2009 (6) TMI 465
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....under Finance Act, 1994. According to Revenue, the activities of maintenance of garden carried out by the Respondents would fall within the scope of "maintenance of immovable property" such as the "parks and the like" and service tax would be levied with effect from 16-6-2005 under section 65(64) of Finance Act, 1994. 2. The relevant facts of the case as per records, in brief, are that the respondents entered into a contract with M/s. Chambal Fertilizers & Chemicals Ltd. (in short "CFCL") for annual maintenance contract of green belt maintenance in CFCL garden. The scope of contract is "Horticulture and Landscaping". A show-cause notice dated 8-5-2006 was issued proposing demand of tax of Rs. 21,72,670 for the period 16-6-2005 to 28-2-2006....
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....ground/above ground water channels and repair and maintenance of civil, mechanical and electrical fittings/fixtures in the green belt. He also submits that the definition of "cleaning activity" under section 65(24b) of the Act excluded service in relation to agriculture, horticulture. It is contented that the definition of "immovable property" under section 3 of the Transfer of Property Act excluded standing timber, growing crops or grass. 5. After hearing both sides and on perusal of the records, we find that the dispute relates to as to whether the activities undertaken by the respondents for maintenance of green belt would come within the purview of "maintenance of immovable property" under section 65(64) of the Act. For the purpose of ....
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....seeds. (h) Providing & spraying insecticides, pesticides and herbicides. (i) Maintaining Nursery in the Green Belt. (j) Decoration of Stage Flower Pots/Seasonal Plants/Cut Flowers including during functions. Cut flowers shall be arranged by you at your own cost. (k) Exhibiting Flower pots/seasonal plants/cut flowers (l) Providing saplings of vegetable/flowers, bulbs for various green belt activities (m) Maintenance of Natural Forest and Holding area including plantation activities. (n) Maintenance of Garden at Transit House. (o) Plantation and Irrigation of Elephant Grass. (p) Modification/alterations in the Green Belt. (q) Periodical cleaning of Fountains, Cascade and Water Boat. (r) Operation, repair & maintenance of Irrigatio....
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....) observed that the respondents have not done any civil/electrical or mechanical work in relation to maintenance of park or green belt. Board's Circular dated 27-7-2005 refers to maintenance of civil/electrical and construction work of park and green belt and not maintenance of grass, plants, trees or shrubs. There is no dispute that the respondents paid the tax on construction work in park. It is seen that services in relation to agriculture, horticulture, animal husbandry or dairy were excluded from the definition of "cleaning activity" under section 65(24b) of the Act. So, the horticulture activity is outside of "cleaning activity" a separate activity. As per section 3 of Transfer of Property Act, 1982 "immovable property" does not inclu....