TaxTMI 
TaxTMI 
2021 (10) TMI 703
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....il that the computation of liability undertaken by the competent authority on submission of their declaration dated 13^th December 2013 was not only in error but had, incorrectly, invoked the disqualification attached to 'substantially false' declarations for denying them the privileges of escapement from interest and penal detriments appended to non-payment/short-payment of tax liability. 2. In the estimate of unpaid tax, the appellant had excluded receipts of Rs. 1,09,59,094 reflected in various invoices which, according to them, was not to be subjected to tax as they pertain to activities enumerated in notification no. 25/2012-ST dated 20th June 2012 for the period after 1st July 2012 and by legislative exclusion in the definitions, in section 65 (105) (zzq), 65 (105) (zzzh) and 65 (105) (zzd) of Finance Act, 1994, of the appropriate 'taxable service' for the pre-'negative list' era. In the appeal, it is further informed that of the claimed exclusion, the competent authority, while discountenancing entitlement to value of Rs. 54,72,932 in 13 invoices for the period till June 2012 and 16 invoices for the period thereafter, did agree with the eligibility to exclude Rs. 54,86,08....
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....ntative, it was submitted by Learned Counsel that the decision of the Tribunal in Harsh Constructions Pvt Ltd v. Commissioner of Central Excise & Customs, Nashik [2014 (35) STR 617 (Tri-Mumbai)] on the nature of 'civil structures' and on the taxability of 'maintenance' of lifts in Industrial Engineering Systems v. Commissioner of Central Excise, Visakhapatnam [2016 (46) STR 755 (Tri-Bang)] as well as the clarification pertaining to services rendered by 'sub-contractor', in circular no. 147/16/2011-ST dated 21st October 2011, are particularly relevant. 5. According to Learned Authorised Representative, the scope and extent of the 'taxable service' claimed by the appellant for basing the exemption has been elaborately dealt with in the impugned order which segregated the invoices for the period before and after introduction of 'negative list' before scrutinizing the applicability of 'taxable service' as appropriate. It was pointed out that almost all the contracts pertained either to 'wiring' provided in buildings or to installation of lifts and to 'maintenance' of lifts with the former appropriately chargeable to tax as provider of 'erection, commissioning or installation service....
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....principal contractor; in the present dispute, the exemption is claimed on the privilege accorded to the ultimate beneficiary of the service. This aspect has been squarely covered by the clarification in circular no. 147/16/2011-ST dated 21st October 2011 of Central Board of Excise & Customs clarifying that '3. However, it is also apparent that in case the services provided by the sub-contractors to the main contractor are independently classifiable under WCS, then they too will get the benefit of exemption so long as they are in relation to the infrastructure projects mentioned above. Thus, it may happen that the main infrastructure projects of execution of works contract in respect of roads, airports, railways, transport terminals, bridges tunnels and dams, is sub-divided into several sub-projects and each such sub-project is assigned by the main contractor to the various sub-contractors. In such cases, if the sub-contractors are providing works contract service to the main contractor for completion of the main contract, then service tax is obviously not leviable on the works contract service provided by such sub-contractor.' and the decision in re RB Chy Ruchi R....
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..... 123/05/2010 dated 24th May 2010 of Central Board of Excise & Customs, it is seen that that the clarification covered electrical works essential to civil structures within the scope of 'taxable services' in '(zzd) to any person, by a commissioning and installation agency in relation to erection, commissioning or installation. (zzq) to any person, by any other person, in relation to commercial or industrial construction (zzzh) to any person, by any other person, in relation to construction of complex' in section 65(105) of Finance Act, 1994 and the decision of the Tribunal in re Harsh Constructions Pvt Ltd holding that '5.2 From the above definitions, especially the underlined portions, it is crystal clear that for a construction to be levied to Service Tax, whether under 'commercial or industrial construction service' or under 'works contract service' the same has to be used for commerce or industry. The construction of colleges, Government hospitals or open university cannot be said to be commercial or industrial in nature. In other words, at the relevant time, the levy did not cover non-commercial or non-industrial construction (other....
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....n for commerce, industry, or any other business or profession. 18. "Original works" has been defined in Clause 2(y) of the notification dated 20-6-2012 to mean the meaning as assigned to in Rule 2A of the Service Tax (Determination of Value) Rules, 2000. 19. On a plain reading of the notification dated 20-6-2012, in our view, the service being provided by the petitioners would clearly fall in the exemption clause, as the Board is a governmental authority having been set up under a State Act, i.e., Haryana Housing Board Act, 1971. It is wholly controlled by the State Government. BPL houses constructed by the petitioners are meant for residential purpose and not for commerce, industry or any other business or profession.' was also not considered in the impugned order. 10. Though these decisions pertain to disputes under the enumerated 'taxable service' framework of the pre-'negative list' era, the exemptions in notification no. 25/2012-ST dated 20th June 2012 have used the same expressions with consequent applicability even thereafter save for specific legislative counter-context, if any. 11. The catena of decisions cited by Learned Counsel and taken note o....