2020 (7) TMI 143

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....empt or is separate from the airport and taxable as "Works Contract Service". 2. Brief facts are that "Delhi International Airport Limited" (DIAL) was constituted as a Special Purpose Vehicle -JV, which included appellant GMR and its associate having 74% shareholding and the balance 26% shareholding of Airport Authority of India. In persuasion of privation process, the Ministry of Civil Aviation entered with the appellant - concessionaire into an "Operation, Management, Development Agreement" (OMDA), through the Airport of Authority of India, for development of Delhi Airport. The agreement dated 04.04.2006 was to "build, own, operate and manage Delhi airport for a period of thirty years, extendable by another thirty years. Under the said a....

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....dance with the terms and conditions set forth therein". * Further, Schedule 7 to the agreement provides for new car park at Sl. No. 9 of the schedule (A copy of the OMDA is annexed to the appeal paper book); thus, it is clear that the appellant was under obligation as per OMDA to construct mandatory capital projects including new car park, forming part of the Airport. * Further clause 8.5.1 provided that (Essential Services and Aeronautical Service) ""the JVC shall at all times provide at the Airport Aeronautical Services, Non-Aeronautical Services and Essential Services at the Airport for the Term". * The JVC was under obligation for provide Aeronautical Services, Non-Aeronautical Services and Essential Services at the Airport. The N....

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....Projects Private Limited, vide agreement dated 11.03.2009 (as permissible under the scope of OMDA). It is worth mentioning that though the OMDA was signed on 04.04.2006, wherein the existing land and airport was handed over to DIAL by AAI, it took considerable time to build all mandatory Capital Projects as per Schedule 7 of the OMDA. The activity of construction of Multi Level Car Parking was a mandatory requirement for operation and management of the Airport, as per OMDA. The construction of MLCP at the Airport is integral part of the Airport and is exempt in terms of the provisions of Section 65(105)(zzzza) of the Finance Act, 1994. 8. Learned Counsel further relies on the ruling of this Tribunal in Archi-structural Constructions India ....

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....f extended period in the present case. The appellant relies on the judgement of Alpump (P) Ltd. vs. Collector of Central Excise, Madras 1996 (86) ELT 79 in support of its case in this regard. 10. He urges that since the levy of service tax is not justified in the present facts and circumstances of the case, the valuation and the method of valuation adopted by the Commissioner for raising the demand is also not justified. Similarly the interest and penalty are not payable/ leviable on the appellant. 11. Learned Authorised Representative Shri Rama Holla, Superintendent relies on the impugned order and relies on the ruling i) GMR Hyderabad Int. Airport Ltd., vs. CCE -2019 (3) TMI 818 (Tri.). ii) Delhi Int. Airport Ltd. vs. Commr. CGST -2....