2013 (8) TMI 418

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....had not paid any service tax for such construction activity done. Revenue was of the view that housing complex constructed would fall within the definition of Residential Complex at section 65(91a) and service tax had to be paid for such services. Based on such argument, a demand was issued for the period July 06 to March 07 demanding service tax not paid. After adjudication, an amount of Rs.65,89,179/- is confirmed against the applicant along with interest and penalty. Aggrieved by the order, the applicant has filed an appeal before this Tribunal along with stay petition which is under consideration in this proceeding. 2. Ld. counsel for the applicant submits that houses constructed were for personal use of fishermen and therefore it will....

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....ciety of individuals engages a contractor and gets a housing complex constructed, the complex is constructed for the personal use of the members of the society and therefore such a complex will not fall within the definition of residential complex as defined under section 65(91a). He also argues that the work undertaken was in the nature of works contract which became taxable only from 01.6.07 when entry at section 65 (105) (zzzza) was introduced in Finance Act'94. He pleads that the demand is time barred since the show cause notice was issued only on 10.10.2011. 4. Opposing the prayer, Ld. A.R. for Revenue submits that applicant was a contractor who was engaged by CRDS for construction of residential units. CRDS or its members were not st....

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....ting the residential units is retaining such units with himself such complexes can be clearly considered to be for personal use even if the houses are given for residence of others on rent or free of rent. However prima facie it appears that if the property in the residential unit is transferred to another person the residential unit may not be considered to be for personal use even if such transfer is done without any consideration. 6. We are not in agreement with the argument that the activity was taxable only from01-06-2007 when the entry for works contract under section 65 (105) (zzzza) was introduced. This is because the levy under the said entry covers construction of residential complex which was already covered by section 65 (105) ....