TaxTMI 
TaxTMI 
2021 (5) TMI 836
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....vable Property Service: Sr. No. Appeal No. Appellant Amount of Service Tax Refund Amount Period Involved SCN date 1 ST/10457/2017 Shreno Ltd. Rs. 14,15,220/- NA 2011-12 to 2014-15 18.02.16 2. The facts involved in the above appeals are more or less identical and they are otherwise interconnected and hence, the same are being taken up together for disposal. 2.1 The Appellants are engaged in real estate projects. The Appellants had recovered certain charges in the course of providing construction of residential complex Service, in the nature of preferential location charges such as garden view, road side location etc. They had discharged Service Tax at the same rate as applicable to Construction of residential complex Service, whereas the revenue authorities insist on payment of Tax at full rate. Hence, there is a demand for differential tax made against the Appellants. The Appellant, in the course of audit, had paid such tax with interest and have sought refund thereof, on the grounds that no such differential tax was payable, and which refund was also denied by revenue authorities. 2.2 In case of one M/s. Shreno Ltd., they had let out a residential pr....
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....relied upon JS TRU-II Clarification dt.16.3.12 in support of his contention that the Preferential Location charges should not be treated as naturally bundled with main service of Construction of Residential Complex Service. 4.1 As regards Renting of Immovable property service related demand, he mainly submitted that such levy was constitutionally valid and the material period is not one which stood retrospectively amended. He further submitted that since demand stood confirmed, the refund thereof cannot be granted by refund sanctioning authority. 5. We have carefully considered the submissions made by both the sides and perused records. As regards the first issue, on Preferential Location Charges and natural bundling thereof with main service under Section 65(3) of the Finance Act, 1994, we find that the issue on hand is no more Res Integra, and stands concluded in favour of the Appellant vide the following decisions: a. SJP Infracon Ltd. V/s. CST, Noida 2018(12) TMI 253-CESTAT ALLAHABAD "2. Brief facts of the case are that the appellants were engaged in Construction of Residential Complex and were paying service tax at abated value as abated under Notification No. 26/2012-ST ....
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....the impugned Order-in-Original. 5. Having considered the rival contention and on perusal of record, we find that it is undisputed fact that the sale deed does not separately mention above stated charges and the sale deeds are for the amount of entire consideration including above stated charges. We, further, note that provisions under sub Section (3) of Section 66F has provided that whenever in ordinary course of business some service is naturally associated with a single service which gives essential character to the entire package of service then such naturally associated service is treated as bundled service and the said bundled service is to be treated as single service which gives the entire package its essential character. In the present case construction of residential complex service is the service which gives essential character to the package of the service and, therefore, the charges as stated above are essentially required to be bundled with the single service namely construction of residential complex service. We, therefore, do not find any merit in the stand taken by Revenue." b. Logix Infrastructure Ltd. 2018(11) TMI 462-CESTAT ALLAHABAD 3. Heard the learned Ch....
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....o not find any merit in the impugned orders. c. Friends Land Developers 2019 (22) G.S.T.L. 435 (Tri.- All.) "6. After considering the submission made by both sides, we find that Service Tax on construction of 'Residential Complex Service' was introduced with effect from 16/06/2005 vide Notification No.15/2005-ST dated 07/06/2005. As per Section 59(91a) of the Finance Act, 1994 "Residential Complex" means any complex compromising of: (i) A building or buildings, having more than twelve residential units; (ii)A common area; and (iii) Any one or more of facilities or services such as park, lift, parking space........ 7. As seen from the above definition of 'Residential Complex Service', parking space specifically stands included in Serial No.(iii) of the definition. If that be so, it has to be held that parking space is a part and parcel of the services falling under the category of 'Residential Complex Services'. As regards the contention of the learned advocate that a new category of services were introduced with effect from 01/07/2012 as "Preferential Location Services & Development of Complexes", which has been defined as under:- "Taxable service" means any service provid....
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..... There is also no positive evidence indicating any mala fide on part of the appellant. Accordingly, we set aside the order on limitation and allow the appeal on the said ground." The Appellants have also rightly relied upon the judgment of the Hon'ble Gujarat High Court in the case of Torrent Power (supra), wherein the principles to consider a service naturally bundled with the main service and to be taxed at same rates as main service are discussed. The relevant portion of the judgment is reproduced below: "24. It has been contended on behalf of the respondents that sub-section (3) of Section 66F of the Finance Act would not apply where the single service which gives the bundle of services its essential character is exempt from the levy of service tax. In the opinion of this Court, there is nothing in the language employed in sub-section (3) to Section 66F to read into it a requirement that such service should not be exempt from tax. All that the sub-section provides is that taxability of bundled services shall be determined in the manner provided therein. The term taxability means liability to taxation. Thus the term taxability would take within its sweep not being taxable al....