2013 (11) TMI 1307

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....liability during the period April 1999 to March 2004, under the category of Consulting Engineering Services. Lower authorities were of the view that respondent herein has rendered the services of Consulting Engineering Services during the material period by taking up the soil testing, exploration survey and map making for laying pipe lines. Adjudicating authority after following the due process of law confirmed the demands raised along with interest and also imposed penalties. On an appeal against such an order, the first appellate authority has set-aside the impugned order in original by holding that the activities undertaken by the respondent (appellant before her) would get covered under the category of Survey and Map making by agencies ....

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....nd that there is no dispute as to the facts as stated by both sides. It is seen from the records that the first appellate authority has recorded in her impugned order the reasoning for coming to a conclusion as to why the Revenue's case does not hold any strength for classifying the services provided by the respondent under Consulting Engineering Services. The relevant portion of the order is reproduced below:-            4.6 It is seen that the services rendered by the Appellants basically involve carrying out survey work relating to routing of gas pipeline; grid, contour and engineering survey; preparation of maps and drawings of gas fields, detailed soil investigation report, chemical ....

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....as introduced as new services vide Finance Act, 2003 and the Board vide circular No. 59/8/2003-ST dated 20.06.2003 referred to it as a 'new service'. Survey and Exploration of Minerals was also introduced as a 'new service' vide Finance Act, 2004and the Board vide Circular No. B2/8/2004-TRU dated 10.09.2004 clarified that activities such as seismic survey, collection/ processing/interpretation of data and drilling or testing in relation to survey and exploration of minerals would fall within the ambit of taxable service. It is further observed that Survey and Map Making was also introduced as a 'new service' vide Finance Act, 2005 and the Board vide Circular No. B1/6/2005-TRU dated 27.07.2005 clarified that it covers surface surveying, serv....

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.... Board vide Circular No. 49/11/2002-ST dated 18.12.2002 issued from F.No.137/13/2001/CX.4 that the same are covered under Consulting Engineers Service, the Board vide circular No. 79/9/2004 dated 13.05.2004 clarified that these services will be separately chargeable under commissioning or installation services w.e.f. 01.07.2003 and not chargeable under Consulting Engineers Service. Following the reasoning of the above circular dated 13.05.2004, it follows that the subject services viz., 'Soil Testing' became taxable first time as New Services under the category of Technical Testing and Analysis w.e.f 01.07.2003. Survey and Exploration of Mineral category w.e.f 2004 and Survey and Map Making w.e.f 2005 and are, therefore, not chargeable unde....