2021 (3) TMI 1026

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... had carried out civil contract works for the second respondent. The petitioner is said to have constructed the school hostel building and the library building during the said period. The petitioner had registered himself as a provider of commercial and industrial construction services. Since the petitioner was under the impression that the second respondent is a educational trust and he had only put up educational buildings, he is not obliged to reflect the same in his returns or pay any service tax on the contract value received by him. However, the first respondent had a different perception. The first respondent issued notice dated 18.04.2013 for the period from April 2011 to March 2012 proposing to levy service tax together with penalt....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....#39;s stand from the beginning is that the service provided to such an educational trust cannot be called as commercial or industrial service. 5.The petitioner's counsel drew my attention to the decision of the Hon'ble Supreme Court reported in 2015 372 ITR 699(SC) (M/s.Queen's Educational Society Vs. Commissioner of Income Tax). The Hon'ble Supreme Court, in the aforesaid decision, had summarized the applicable principles in the following terms:- "Thus, the law common to Section 10(23C) (iiiad) and (vi) may be summed up as follows: (1Where an educational institution carries on the activity of education primarily for education persons, the fact that it makes a surplus does not lead to the conclusion that....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ment or any other thing in any enquiry which such officer is making for any of the purpose of this Act. He also drew my attention to Section 83 of the Finance Act, 1994, which states that Section 14 of the Central Excise Act shall apply in relation to service tax proceedings also. According to the petitioner's counsel, this power ought to have been exercised in this case. He also pointed out that before the adjudicating authority, the petitioner had cited the instance of another contractor who rendered similar services for the second respondent trust and against whom, the proceedings were initially initiated but dropped by the adjudicating authority. Aggrieved by the said order passed by the authority, the department had filed an appeal....