TaxTMI 
TaxTMI 
2014 (9) TMI 179
X X X X Extracts X X X X
X X X X Extracts X X X X
....0/11/2012 passed by the Commissioner of Central Excise & Service Tax, Pune - III and Commissioner of Service Tax, Mumbai - II Commissionerate respectively. 2. Vide the impugned orders, a service tax demand of Rs. 4,74,75,144/- along with interest has been confirmed against the appellant. M/s. The Carpenters, Pune apart from penalties under Sections 77 and 78 in the first order; and a service tax demand of Rs. 4,31,01,251/- along with interest has been confirmed against the appellant M/s. Eleganz Interiors Pvt. Ltd., Mumbai apart from penalties under Sections 76, 77 and 78 of the Finance Act, 1994. Aggrieved of the same the appellants are before us. 2.1 As the issue involved in both these appeals are common, we take them up together fo....
X X X X Extracts X X X X
X X X X Extracts X X X X
....mitted in respect of the work orders executed by the appellant this position is clear. In the case of M/s. The Carpenters, the learned counsel points out that the adjudicating authority in para 22 has clearly given a finding that: "Admittedly, notice is engaged in undertaking repairs, renovation and alteration of commercial premises like Hotels, Holiday resorts, etc. Copies of the contracts and bills raised on the clients shows that the Noticee undertake various items of works like interior, carpentry, wood work, painting, flooring and hard finishing work related to building or civil structure." 3.2 In spite of these findings, the adjudicating authority has chosen to classify the activity undertaken under clause (c)....
X X X X Extracts X X X X
X X X X Extracts X X X X
....as not submitted copies of the contracts showing that in respect of contracts where service tax liability has been discharged under work contract service, these contracts were entered into subsequent to 01/06/2007 and not prior to 01/06/2007. However, the learned counsel submits that even if the contracts were entered into prior to 01/06/2007, their activity would fall under clause (d) of Section 65 (25b) and they would be rightly entitled for the abatement under Notification 1/2006-ST and, therefore, there would be no additional service tax liability as confirmed in the impugned order. 3.3 The learned counsel for the appellant, M/s. Eleganz Interiors Pvt. Ltd. submits that they have also undertaken interior work in respect of existing b....
X X X X Extracts X X X X
X X X X Extracts X X X X
....these details of the work undertaken by them, it would be obvious that the activity undertaken by them is repair or renovation or restoration. In para 3 of the said letter they have referred to the amendments made to the Finance Act, 1994 wherein 'completion and finishing services' were brought under the tax net. This reference is restricted to the amendment made and not with respect to the activities undertaken by them. The activities undertaken by them are purely renovation/restoration work and, therefore the adjudicating authority has misread the letter dated 18/06/2005 and has come to a wrong conclusion. Therefore, it is his contention that the impugned demands are not sustainable in law. 4. The learned Additional Commissioner (A....
X X X X Extracts X X X X
X X X X Extracts X X X X
....services in relation to, building or civil structure, pipeline or conduit, which is - (i) used, or to be used, primarily for; or (ii) occupied, or to be occupied, primarily with; or (iii) engaged, or to be engaged, primarily in, commerce or industry, or work intended for commerce or industry, but does not include such services provided in respect of roads, airports, railways, transport terminals, bridges, tunnels and dams;" From the perusal of the above definition, it can be seen that completion and finishing services necessarily relate to an incomplete or unfinished new building ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....er Notification 1/2006. 5.3 However, since the Revenue's contention is that the copies of the contracts entered into by the appellants were not submitted before the adjudicating authority for consideration, we direct the appellants to submit copies of the contracts entered into by them for the impugned period so that the authority can verify and satisfy that the activity undertaken by the appellant pertained/related to an existing building or civil structure and amounted to renovation/restoration work. In that eventuality, the appellants shall be given the benefit of Notification 1/2006. Only if the contract reveals that the activities undertaken were in respect of an incomplete or unfinished or a new building, application of clause ....