AI Drafter 
TaxTMI 
TaxTMI 
2022 (3) TMI 1257
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....ndia Limited (Power Grid) to qualify as bidder. The Power Grid awarded two separate contracts in the name of JV viz:- (a) Contract 1-for supply of Towers, Hardware fitting and accessories; and (b) Contract 2-for erection, installation and commissioning of transmission lines. The JV partner raised invoices for supply of towers and payments were received by JV towers directly. The appellant raised invoices for supply of Accessories. The invoices for erection, installation and commissioning of Transmission lines were raised by the appellant on Power Grid. The payments for services were directly made to the appellant based on the invoices issued by the appellant. 3. In addition to the above supplies, Power Grid supplied insulators and conductors, which were purchased by PGCIL from open market for erection of transmission lines. Vide the impugned order, the adjudicating authority has included the value of the towers, accessories and insulators and conductors for the purpose of working out total amount under the Composition Scheme and Valuation Rules and has demanded the differential service tax. The appellant discharged the service tax under the Works Contract (Compositio....
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....mitation or not? 9. Issue No. 1 whether the value of material provided by M/s Power Grid to the appellant for erection commissioning of transmission lines shall form the part of gross of total value on services provided by the appellant from payment of service tax or not? The issue has been examined by the Hon'ble Apex Court in the case of Union of India vs. Intercontinental Consultants and Technocrats Pvt. Ltd. 2018 (10) GSTL 401 (S. C.) (supra) wherein the Hon'ble Apex Court has observed as under:- "24) In this hue, the expression 'such' occurring in Section 67 of the Act assumes importance. In other words, valuation of taxable services for charging service tax, the authorities are to find what is the gross amount charged for providing 'such' taxable services.As a fortiori, any other amount which is calculated not for providing such taxable service cannot a part of that valuation as that amount is not calculated for providing such 'taxable service'.That according to us is the plain meaning which is to be attached to Section 67 (unamended, i.e., prior to May 01, 2006) or after its amendment, with effect from, May 01, 2006. Once this interpretation is to be given ....
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....sts of words printed on papers. However, conceptually it is a great deal more than an ordinary prose. There is a special peculiarity in the mode of verbal communication by a legislation. A legislation is not just a series of statements, such as one finds in a work of fiction/non-fiction or even in a judgment of a court of law. There is a technique required to draft a legislation as well as to understand a legislation. Former technique is known as legislative drafting and latter one is to be found in the various principles of "interpretation of statutes". Vis-à-vis ordinary prose, a legislation differs in its provenance, layout and features as also in the implication as to its meaning that arise by presumptions as to the intent of the maker thereof. 28. Of the various rules guiding how a legislation has to be interpreted, one established rule is that unless a contrary intention appears, a legislation is presumed not to be intended to have a retrospective operation. The idea behind the rule is that a current law should govern current activities. Law passed today cannot apply to the events of the past. If we do something today, we do it keeping in view the law of today....
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....ient in respect of such goods/materials. This further gets strengthened from the words 'for such service provided or to be provided' by the service provider/assessee. Again, obviously, in respect of the goods/materials supplied by the service recipient, no service is provided by the assessee/service provider. Explanation 3 to sub-section (1) of Section 67 removes any doubt by clarifying that the gross amount charged for the taxable service shall include the amount received towards the taxable service before, during or after provision of such service, implying thereby that where no amount is charged that has not to be included in respect of such materials/goods which are supplied by the service recipient, naturally, no amount is received by the service provider/assessee. Though, sub-section (4) of Section 67 states that the value shall be determined in such manner as may be prescribed, however, it is subject to the provisions of sub-sections (1), (2) and (3). Moreover, no such manner is prescribed which includes the value of free goods/material supplied by the service recipient for determination of the gross value. It was argued that payment received in 'any form' and 'any amount cr....
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....in the case of U. P. RajkiyaNirmam Nigam Ltd. vs. Commissioner of Central Excise, Meerut-I (supra) wherein this Tribunal has observed as under:- "4. We have considered the contentions of the appellant. Notification No. 45/2010-ST dated 20.07.2010 reads as under:- Electricity-Exemption to all taxable services relating to transmission of electricity till 26.02.2010 Whereas, the Central Government is satisfied that a practice was generally prevalent regarding levy of service tax (including non-levy thereof), under Section 66 of the Finance Act 1994 (32 of 1994) (hereinafter referred to as 'as the finance Act)/on all taxable services relating to transmission and distribution of electricity provided by a person (hereinafter called the service provider) to any other person (hereinafter called The service receiver), and that all such services were liable to service tax under the said Finance Act, which were not being levied according to the said practice during the period upto 26th day of February, 2010 or all taxable services relating to transmission of electricity, and the period upto 21st day of June, 2010 for all taxable services relating to distribution of ....