2019 (1) TMI 432

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.... Pursuant to audit, it appeared to the department that appellants were rented out immovable properties by sub-leasing the premises taken by them on lease from the actual owners of such properties; that appellant was also constructing a hotel at Velacherry on the premises owned by them and had received services from the companies situated both outside India and in India relating to design and technical consultancy for kitchen, general design, restaurant, landscaping, etc. utilized towards the construction of the hotel. Appellants paid service tax in respect of services imported by them from service providers situated outside India under reverse charger mechanism in terms of Rule 2(1) (d) (iv) of Service Tax Rules, 2004. It was noticed that a....

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....eged ineligible credits availed on input services; The said SCN also proposed imposition of penalty under various provisions of law. These proposals made in the two SCNs were confirmed by the adjudicating authority vide impugned order No.131/2011 d. 30.12.2011 and penalties were also imposed. Aggrieved, appellants are before this forum. 2. When the matter came up for hearing, on behalf of the appellants, Ld. Advocate Shri M. Karthikeyan submits that the matter is no longer res integra and that the very same issue has been decided in a number of Tribunal decisions, for example, :- (1) Navaratna S.G. Highway Prop. Pvt.Ltd. Vs CST Ahmedabad 2012 (28) STR166 (Tri.-Ahmd.) (2) Vamona Developers Pvt. Ltd. Vs CCE & ST Pune 2016 (42) STR 27....

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...."Cargo Handling Services". The Commissioner eventually concluded that the company cannot provide any 'logistic services' viz., "Cargo Handling Services" without the facility of private Railway Side. Hence, it become essential for them to set/construct their own private Railway Side to facilitate smooth loading, unloading of materials like Coal, Iron Ore, Manganese Ore, Bauxite etc. Hence, 'inputs' and 'input services used in setting up the Railway Private Siding which is further in use of "Cargo Handling Services" is eligible for credit under the Rules, 2004. This view of the Commissioner has been affirmed by the Tribunal. 10. Reverting back to the definition and the nature of construction activity carried on by the respondent company fo....