TaxTMI 
TaxTMI 
2013 (6) TMI 109
X X X X Extracts X X X X
X X X X Extracts X X X X
....ngh: This is an appeal filed by Revenue against Order in Appeal No. 44(ST)/RPR-I/2012 dated 06.09.2012. 2. The facts of the case are that M/s Gayatri Carriers Pvt. Ltd. (hereinafter referred to as respondent) are engaged in providing mining services to South Eastern Coalfield Ltd. (SECL) and received payment from services rendered to SECL. Respondent got registered with the department under mining service and are paying service tax with effect from 01.06.2007. Department felt that activity of handling coal prior to 01.06.2007 was covered under cargo handling service and accordingly a Show Cause Notice dated. 13.04.2011 demanding service tax amounting to Rs. 24,16,946/- along with interest and also proposing penalties was issued to res....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ng service with effect from 01.06.2007. He submits that Commissioner (Appeal) after relying on the decision in case of S.B. Construction 2006(4) STR 545 (Raj.), Gayatri Construction in 2012(25) STR 259 (Tri.) and Anupama Coal Carriers Pvt. Ltd. Final Order ST/A/143-154/2012/CU (DB) dated 06.03.2012 has rightly allowed their appeal. 5. After hearing both sides, we find that issue involved in the appeal is whether activities of that respondent fall under category of Cargo Handling Service as defined under Section 65 (23) of the Act. The term Cargo Handling Service has been defined under 65(23) of the Act, as under: "Cargo Handling Service means loading, unloading, pacing or unpacking of cargo and includes cargo handling service provided....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ecome load of the ship/truck/wagon, etc. cargo while in the instant case the coal loaded into the Railway Wagons were part and partial of the MCL stock of coal lying in the Railway siding inside the mines which had not yet started their journey, hence, handling thereof, if any, cannot be termed as cargo handling activity and but mere material handling activity which is not taxable under the Act. Further, in trade parlance the term Cargo has a definite connotation and mere handling of goods cannot be termed as cargo handling activity but material handling activity. As per various dictionaries, Cargo means as follows: i Freight or loading of a ship shipload-Shorter Oxford English Dictionary. ii The load or freight of a ship, air plane....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... of the cargo. The meaning of Unloading-The term unloading means the act of discharging a cargo taking load from, disburdening or removing from. Thus while the act of loading refers to putting the cargo into the mode of transport at the starting point, the act of unloading refers to the removing of the cargo from the mode of transport at the destination point. It appears cargo handling is an adjunct service to the actual tr4ansportation of goods. The pre-transportation activities like packing/loading and pose-transportation activities like unloading/unpacking have been brought under the service tax in the Cargo Handling Service category, which are provided by the Cargo Handling Agency. Since the appellant is engaged in loading/unloading/....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ing of cargo such activities is covered by category of cargo handling service. 8. In view of the above decision, we are therefore of the view that activity undertaken by the respondent falls under category of Cargo Handling Service. 9. Respondents have relied on the decision of Rajasthan High Court in case of S.B. Construction Company (Supra), Sainik Mining & Allied Services Ltd. 2008 (9) STR 531 and Tribunal decision in case of Anupama Coal Carries Pvt. Ltd. Final Order No. ST/A/143-154/2012 CU(DB) dated 06.03.2012 in support of their contention that their activity does not fall under Cargo Handling Service. We find that decision in case of S.B. Construction Company and Sainik Mining & Allied Services Ltd. were considered by Tribunal....