TaxTMI 
TaxTMI 
2022 (11) TMI 1279
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....Sameet) and Shri Samprat Co-operative Housing Society Limited (hereinafter referred to as Samprat) to develop and build residential scheme in the name and style of Samprat Residency-II. Accordingly, the appellant developed and built residential scheme on the land owned by Sameet and Samprat. Subsequently they made a co-development agreement dated 01.11.2006 between the appellant (SCPL), M/s. Safal Infrastructure Pvt. Limited (now known as M/s. Safal Realty Pvt. Limited) and M/s. Pegasus Commercial Co-op Society Limited for joint development of Pegasus Commercial Complex. The appellant have not paid service tax in relation to the joint development under the agreement. The case of the department is that in terms of agreement, the appellant ca....
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....rred to Board Circular No. 151/12/2012-ST dated 10.02.2012, 148/17/2011-ST dated 13.12.2011 and 334/4/2006-TRU dated 28.02.2006 and submits that as per Circulars also the activities of the appellant does not fall under Business Support Service. He also referred to Black‟s Law Dictionary meaning of "Joint Venture" to submit that as per definition there is commercial objective between all the three developers and the consideration is in the form of distribution of profit. He further submits that entire demand is raised by invoking extended period. In the present case there is no suppression of facts and the case was made out on the basis of audit and the information regarding receipt of joint development agreement was reflected in the b....
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....11.2006:- (A) SIPL has entered into an Agreement obtaining exclusive rights of development, construction and sale of the units to be constructed on the land being survey No. 1296/1, 1296/2 and 1298/1 which is more particularly described and mentioned in the schedule hereunder written [hereinafter referred to as the 'said land'] owned by the Pegasus Commercial Co. Op. Society Ltd. (B) SIPL has incurred some expenses on project. However, looking to the size of the project and involvement of work and time, it found that it was not possible for it to handle the scheme alone by itself. At the same time, SIPL has less experience of marketing, liasoning etc. with the Government departments and follow up with the sanctioni....
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....ion work allocated to it under this Agreement, as early as possible. The party of the First Part shall be entitled to utilize the fund arranged by it against mortgage of the said land. 5. It has been specifically agreed between the parties hereto that all works other than allocated to the Party of the First Part will be done by the party of the Second part. 6. To facilitate early implementation of the scheme and for mutual convenience, functional division between the parties hereto are made and agreed as under- 6.2 FUNCTIONS OF THE PARTY OF THE SECOND PART: (SCPL) A. It will obtain all licenses, approvals, permissions, consents, no objections certificates, etc, as may be necessary or required according to....
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....00% 13. The parties of the First and Second Part hereto are hereby individually authorized to collect the sale proceeds from prospective purchasers and shall not be obliged to deposit the sale proceeds recovered from the prospective purchasers by them in common pool or joint bank account, if maintained, but retain with them against their own outgoings. 14. Although functional division has been made for the reasons already given and clarified above, the party of the Second Part shall as often a possible visit and observe the progress of the scheme on site, an actively contribute and cooperate in all respects with the party of the First Part in solving all difficulties and hurdles in the implementation the scheme." 5. Fro....