Taxability of the service of access to a road or bridge in the period 8-11-2016 to 1-12-2016

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....ef /Chief Commissioners of GST and Central Excise All Principal Directors General/Directors General/ Chief Commissioner AR CESTAT Madam/Sir Subject: Taxability of the service of access to a road or bridge in the period 8-11-2016 to 1-12-2016 I am directed to draw your attention to a representation from the Construction Federation of India wherein they have stated that due to the demonetisation....

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....f services and is not taxable, since the toll operator chose to forgo payment by the user and accepted payment by NHAI, it comes under the category of "agreeing to the obligation to refrain from an act, or to tolerate an act or a situation, or to do an act.". 3.0 The matter has been examined. The correct legal position in this regard is as follows: 3.1 " Service by way of access t....

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....e a service from the Negative List and make it a taxable service. 3.3 The service that is provided by toll operators is that of access to a road or bridge, toll charges being merely a consideration for that service. On MoRTH/ NHAI's instructions, for the period 8-11-2016 to 1-12-2016 this service of access to a road/bridge was continued to be provided without collection of consideration from ....