TaxTMI 
TaxTMI 
2019 (12) TMI 476
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....sed by the Customs, Excise and Service Tax Appellate Tribunal, Chandigarh Bench (for short, 'Tribunal'). 2. The following substantial questions of law arise for adjudication of this Court:- i) Whether the Tribunal can allow the party to retreat from their earlier stand of paying Service tax under a certain category after claiming the benefit of abatement? ii) Whether the party can be allowed to approbate and reprobate on the same issue? 3. Succinctly, an internal audit took place in the premises of the respondent. On the analysis of certain contracts, which were taken into custody, it was alleged that the respondent was engaged in the commercial and industrial construction services, during the period 10.09.2004 to 15....
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....appeal. 6. Learned counsel for the appellant has submitted that the Tribunal has erroneously set aside the service tax demand upto 31.05.2007 and the respondent was liable to pay the service tax demand of Rs. 1,09,41,059/- alongwith interest and penalty. 7. Per contra, learned counsel for the respondent submitted that the Tribunal has rightly relied upon the decision of Hon'ble Supreme Court in case 'Commissioner of Central Excise and Customs, Krala vs. Larsen & Tourbo Ltd., 2015 (39) STR 913 (SC), and held that activities of the respondent fall under the category of 'work contract service' which was made chargeable to service tax w.e.f. 01.06.2007. 8. We have heard the aforesaid submissions made by learned counsel for the parties.....
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....erred in the execution of such works contract. This is done by adopting the value that is adopted for the purpose of payment of VAT. The rule goes on to say that the service component of the works contract is to include the eight elements laid down in the second Gannon Dunkerley case including apportionment of the cost of establishment, other expenses and profit earned by the service provider as is relatable only to supply of labour and services. And, where value is not determined having regard to the aforesaid parameters, (namely, in those cases where the books of account of the contractor are not looked into for any reason) by determining in different works contracts how much shall be the percentage of the total amount charged for the wor....
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....arrive at the conclusion that it was an authority for the proposition that a tax is leviable even if no rules are framed for assessment of such tax, which is wholly incorrect. The extracted passage from Mahim Patram's case only referred to rules not being framed under the Central Act and not to rules not being framed at all. The conclusion therefore in paragraph 36(2) of the Delhi High Court judgment is wholly incorrect. Para 36(2) reads as follows:- "(2) Service tax can be levied on the service component of any contract involving service withsale of goods etc. Computation of service component is a matter of detail and not a matter relating to validity of imposition of service tax. It is procedural and a matter of calculation. Mere....
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....efore legal representatives of a manufacturer who had paid excess duty would not by the selfsame reasoning be able to claim such excess amount paid by the deceased. Neither of these reasons are reasons which refer to any provision of law. Apart from this, the High Court went into morality and said that the moral principle of unlawful enrichment would also apply and since the law will not permit this, the Act needs to be interpreted accordingly. We wholly disapprove of the approach of the High Court. It flies in the face of first principle when it comes to taxing statutes. It is therefore necessary to reiterate the law as it stands. In Partington v. A.G., (1869) LR 4 HL 100 at 122, Lord Cairns stated: "If the person sought to be taxed comes ....