2019 (6) TMI 215

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....ng capacity during the period Aug 2006 to Jan 2007. For the said purpose, the appellant decided to import certain machinery from various suppliers situated at China, Hongkong, and European countries. The suppliers of these machineries (situated abroad) provided the Erection, Commissioning and Installation Services to the appellant free of cost. In other words, the suppliers of the machineries were required to carry out Erection, Commissioning and Installation of the machineries and the appellant need not to pay anything for the said work. The appellants have paid basic customs duty, CVD and SAD as may be applicable on such imports of goods on the entire value mentioned in the agreement. The appellants have availed the CENVAT Credit on CVD p....

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....Online Mad 401 and the same was affirmed by the Hon'ble Supreme Court vide 1968 (21) STC 245. He submits that as per the above settled position even if department contention is accepted that the activity of the appellant is of 'Works Contract', the same is not taxable. He further submits that it is undisputed that in the present case, the suppliers of imports have not charged any consideration for the alleged Erection, Commissioning and Installation Services. These facts have been accepted by both the lower authorities. He submits that in when there is no consideration, then demand of Service Tax is not sustainable. In this regard, he relied upon the judgments of Bhayana Builders 2018 (10) GSTL 118 (SC) and Intercontinental Consultant 2018 ....

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.... (3) Siemens Building Technologies 2018-TIOL-2351-CESTAT-MAD (4) United Shippers Ltd. 2015 (37) STR 1043 (Tri-Mum.) (5) United Shippers Ltd. 2015 (39) STR J369 (SC) He also submits that demand was confirmed by invoking Notification no. 01/2006-ST dated 01/03/2006. Since the notification 01/2006-ST being conditional, cannot be thrusted upon the assessee, demand cannot be sustained. He submits that there is no parallel provision of section which is comparable with section 5A(1A) of the Central Excise Act, 1944. He submits that as per notification 01/2006-ST, the benefit of the notification is not available if the assessee avails the CENVAT Credit. In the present case, the appellant have undisputedly availed the C....