2010 (4) TMI 973

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ion. Heard learned counsel for the rival parties. This application for reference was admitted vide order dated February 25, 2010 to consider the following substantial question of law:   "Whether, on the facts and in the circumstances of the case and on true and correct interpretation of the agreement, entered into between the respondent and BMC contractee for execution of works contr....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e: "4. . . . Thus, as per the contract, the provision for water and sewerage was agreed to be made by BMC itself and the cost therefor was agreed to be borne by BMC. The cost to be charged and deducted in the appellant's bills in this regard were determined by BMC at certain percentages with reference to the evaluated and accepted contract value, (i.e., six per cent in respect of water char....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e for being assessed to be composition tax under section 6A. The Fourth Bench accepted this contention mainly on the ground that on the particular facts, the said amounts being neither received nor receivable by the appellant under the contract, are not part of the taxable contract value and hence are not liable to composition tax under section 6A. 8.. From the facts of the case as emerging fro....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....y the appellant. In the course of hearing, we specifically asked the Departmental Representative as to whether there is any evidence to raise slightest doubt as regards this factual position regarding the amounts being neither receivable nor received by the appellant as per the contract, then having regard to the specific and express provisions in section 6A, no legal question can be said to have ....