TaxTMI 
TaxTMI 
2018 (10) TMI 1211
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....tion of a residential complex and commercial complex. As per the agreement, the land owner handed over the land to the appellants for the purpose of construction of 7,25,305 sq. ft of commercial and residential complex. As per the agreement, the appellants were parted with 1,24,812/- sq.ft of undivided share of land in their favour and in consideration, they had agreed to construct a commercial complex of 2,61,385 sq.ft and 1,01,120 sq. ft of residential area and handed over the same to land owner in the following manner : Land Owner 2,61,385 Sq. ft Commercial Area 1,01,120 sq. ft 75 apartments in all 4 blocks of residential units Assessee 3,62,800 sq. ft 269 apartments in all 4 blocks of residential units Total ....
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.... a period of one month. He also imposed penalty of Rs. 5000/- under Section 77 (2) of the Act. Aggrieved, the appellants are before this forum. 2. Today when the matter came up for hearing, on behalf of the appellant, Ld. Counsel Ms. S. Vishnupriya, Advocate submits that issue as to whether a composite contract involving provision of service as well as transfer of property in goods could be covered under CICS and RCS from the date of introduction of service tax levy on such services stands finally settled by the Hon'ble Supreme Court in the case of CCE & Cus., Kerala Vs L&T Ltd. [2015 (39) STR 913 (SC)]. Ld. Advocate submits that the very same issue is also squarely covered by the recent decision of this Bench in the appellant's own c....
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....bserved that with introduction of works contract service as a separate taxable service, statutory mechanism to exclude the value of transfer of property of goods has been prescribed. The Apex Court held that since the Finance Act had not laid down any charge or machinery to levy and assess service tax on indivisible works contract prior to 1.6.2007, the levy on such composite works contract prior to that date has no constitutional validity. 7.6 The Larsen & Toubro (supra) judgment has been followed by this Tribunal in many numbers of cases to set aside the demand of service tax on services like commercial or industrial construction service, construction of complex service etc. involving composite contract of both material supply as....
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....citer without any other element in them namely without any material or goods supply involved. That is definitely not the case in the facts of these appeals. The activities of the appellants will therefore continue to be in the nature of composite works contractservicesand hence even after 1.6.2007 for the periods disputed in these appeals they cannot be brought within the fold of commercial or industrial construction service or construction of complex service as proposed in the show cause notices and confirmed in the impugned orders. 7.8 On the contrary, being composite works contracts, they will necessarily fall within the ambit of works contract service as defined under section 65(105)(zzzza) ibid. It is possibly with this intent....
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....y of service tax under CICS / CCS / RCS prior to 1.6.2007 and after. Our view is supported by the fact that the method / scheme for discharging service tax on the service portion of composite contract was introduced only in 2007. 7.11 The ld. AR Shri A. Cletus has tried to counter this contention by stating that works contract service is service / activity which would be of a general nature whereas the construction activities defined in Commercial or Industrial Construction Services, Construction of Complex Service and Construction of Residential Complex etc. are of special nature. He took support of the maxim 'generalia specialibus non derogant' - 'general things do not derogate special things'. The counsel for appellants have sub....
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....lar, relying on the ratios of the case laws cited supra, we hold as under:- a. The services provided by the appellant in respect of the projects executed by them for the period prior to 1.6.2007 being in the nature of composite works contract cannot be brought within the fold of commercial or industrial construction service or construction of complex service in the light of the Hon'ble Supreme Court judgment in Larsen & Toubro (supra) upto 1.6.2007 b. For the period after 1.6.2007, service tax liability under category of 'commercial or industrial construction service' under Section 65(105)(zzzh) ibid, 'Construction of Complex Service' under Section 65(105)(zzzq) will continue to be attracted only if the activities are in t....