TaxTMI 
TaxTMI 
2015 (10) TMI 1854
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...., penalty of Rs. 2,00,000/- under Section 77 and penalty of Rs. 14,73,190/- under Section 78 with option to reduce the penalty to 25% of this amount if the duty, interest and reduced penalty are paid within 30 days of the communication of the Order-in-Appeal. 2. The appellant was providing "Completion and Finishing Services" under the categories of Commercial or Industrial Construction Service and Construction of Complex Service. They provided services of painting of residential quarters to Nashik Thermal Power Station (NTPS in short), plant and machinery of NTPS, properties of railways such as their institute building, auditorium, hostel, sports complex and the State Transport Terminal (Bus stand) etc. They also provided services o....
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....' and therefore went beyond the allegations in the show cause notice. Learned counsel relied on the judgment of the Tribunal in the case of Nagarjuna Construction Company v. CCE, Hyderabad - 2009-TIOL-1156-CESTAT-Bang = 2010 (17) S.T.R. 44 (Tri.-Bang.) in which it was held that laying of pipelines for drinking water supply projects run by Gujarat Water Supply and Sewerage Board are not leviable to service tax either under Commercial or Industrial Construction Service or Works Contract Service. 5. Learned DR appearing on behalf of the Revenue reiterate the findings of the Commissioner (Appeals). 6. We have carefully considered the submissions made by both sides. We may take up each activity undertaken by the appellant separat....
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...., tunnels and dams." We hold that the service provided is in respect of railways and not subjected to tax under Section 65(25b). 6.3 Similarly, painting of bus stand gets excluded from service tax in view of the above exclusion which covers transport terminals also. The words "transport terminals" would definitely include bus stands. 6.4 Service of painting of plant and machinery of NTPS is an activity covered under Commercial or Industrial Construction Service under Section 65(25b). This definition includes services such as painting of buildings, civil structures which are primarily used for commerce or industry. We do not agree with the Commissioner (Appeals) that NTPS is established for profit earning. He has also taken a....
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....nd the circular that needs to be seen. Once the Circular clarifies that the construction activity which is not for commerce or industry is not taxable, the same ratio will apply in the present case. In this case the activity is undertaken for Nashik Municipal Corporation and the activity is undoubtedly for general public and therefore should not come under the tax net, on a holistic interpretation of the Board Circular. Referring to the decision of Nagarjuna Construction Co. (supra), the Commissioner (Appeals) has opined that the case related to laying of pipeline and service tax was demanded under the category of Commercial or Industrial Construction services. The Tribunal held that the said activity is not an activity of commerce or indus....