2023 (4) TMI 437

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....IL) are engaged in providing "Port Services" at captive jetty, Dahej, Dist. Bharuch, Gujarat. Whereas, on the basis of information to the effect that Appellant was not paying Service tax properly, an inquiry was initiated. During the investigation it was noticed that Appellant had been granted a license by the Gujarat Maritime Board (GMB) to administer, develop, maintain and to operate the captive jetty for purpose of handling, storage and transportation of cargos. The said captive jetty was constructed by M/s Hindalco Industries Ltd. (Unit : Birla Copper), Dahej (M/s HILBC) after the approval from the GMB and later handed over to DHIL for its handling and maintenance. A Licence agreement was made between the GMB and DHIL on 11th August 199....

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....long with interest and penalty. In adjudication, Ld. Adjudicating authority confirmed the demand of service tax as proposed in the SCNs along with interest and penalties. Details of the Order-In-Original passed against the respective SCNs are as under: - S. No. Show Cause Notice Order-In-Original No. Period Demand of Service tax 1. V/S.Tax/OA/DHIL-Port/Adj/Commr-15/2011-12 dated 14.10.2011 09/VDR-II/DHIL-Port/D-BRH/ADJ/COMMR/2012-13 dated 14.12.2012 2006-07 to 2010-2011 5,17,53,962/- 2. V/S.Tax/DHIL-Port/Adj/Commr/45/12-13 dated 27.09.2012 VAD-EXCUS-002-COM-008-13-14 dated 15.10.2013 2011-2012 92,57,824/- 3. V/S.Tax/DHIL/D.BRH/Adj/ Commr/62/14-15 dated 08.10.2014 BHR-EXCUS-000-COM-016-15-16 dated 31.12.2015 July 2012 ....

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....ted. 6. He further submits that as per the provisions of Section 67 of the Finance Act, 1994, the Service tax is to be on "Gross Amount Charged", the appellant have correctly discharged their service tax liability. If something is not charged by the service provider, it should not form part of value of taxable service. Rule 3(a) of Service tax (Determination of Value) Rules, 2006 is applicable when the value of service is not ascertainable in terms of Section 67 of Finance Act, 1994. In terms of Section 67, the gross amount charged by the appellant is the sole consideration for the services and therefore rule 3 cannot be applicable. 7. Shri Tara Prakash, learned Deputy Commissioner (AR) appearing on behalf of the revenue reiterates the fi....