2018 (11) TMI 85

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....cluding the National Thermal Power Corporation Ltd (NTPC). They have been collecting loading charges for the coal supplied to M/s NTPC and a show cause notice was issued demanding service tax under the head "cargo handling services" on these loading charges. For supply of coal to NTPC they have created a separate system while the coal gets transferred to power plant or to the vehicles of NTPC. It is the case of the department that the coal so loaded is cargo and loading of that cargo amounts to cargo handling for which NTPC is charging a separate loading charges in addition to the price of the coal. Therefore, the loading charges are chargeable to service tax under cargo handling services. The case of the respondent is that the loading char....

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....in the instant case as the transfer of ownership has no bearing in deciding the leviability of the service tax. (3) Since they are charging the loading charges from NTPC, they are rendering services to NTPC and not to themselves. (4) The respondent herein has been billing NTPC separately for cargo handling services. Therefore, it is the case of the revenue that impugned order is incorrect and service tax is leviable on the loading charges collected by the respondent from NTPC. 5. Learned departmental representative reiterates the arguments made in the grounds of appeal and vehemently argued that the Order-in-Original in incorrect and since the respondent is collecting loading charges from M/s NTPC, they are liable to pay service tax on c....