AI Drafter 
TaxTMI 
TaxTMI 
2024 (5) TMI 1278
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....1. During the relevant period i.e. April 2007 to March 2011, the Appellant had provided certain construction services to GETCO, a wholly owned subsidiary of the Government of Gujarat which was set up as a part of the ongoing reform towards restructuring of the Power Sector. As per the contracts entered into between the Appellant with GETCO, the scope of work for which the Appellant was engaged involved provision of services such as construction of roads, construction of residential quarters, laying of cables, construction of compound wall, construction of foundation, among other things. 1.2. Since, GETCO is a Government entity, the Appellant was of the belief that the services rendered by it were not for any commercial or industrial purp....
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....f quarters, road, cable trench, control room building, compound wall & foundation. Further it was also Informed that Appellant has paid total amount of Rs.6,54,193/- against service tax & Rs.6,032 against the interest. 1.6. Pursuant to aforesaid investigation being conducted against the Appellant since 2010, the Show Cause Notice dated 25.10.2012 came to be issued to the Appellant without taking any note of the non-taxability of the services rendered by the Appellant and proposed to recover service tax amounting to Rs. 78,09,657/- along with the applicable interest and penalty. 1.7. In response to the said Show Cause Notice, the Appellant had furnished a detailed reply vide letter dated 21.05.2013 denying all the allegations levelled ....
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....rpose of commerce or industry. A.4. Further, the word 'commercial concern' as per dictionary meaning would mean a person must be established with the purpose of gaining profit and the word 'industry' as per the Black's Law Dictionary means any department or branch of art, occupation or business conducted as a means of livelihood or for profit. A.5. It is submitted that GETCO is a wholly owned subsidiary of the Government of Gujarat which was set up with the motive of restructuring the power sector by provision of electricity to the public which is a civic amenity. It is submitted that it is evident that GETCO was not established for the purpose of profit motive. Therefore, services provided to GETCO can....
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....any fact of wilful misstatement on its part as there was no wilful act/omission on the part of the Appellant. The Appellant was and still is under the bona fide belief that service tax was not payable by the Appellant and only on account of that belief the Appellant had not paid service tax. B.3. The Appellant place reliance on the decision of M/s GD Goenka Pvt. Ltd. v. Commissioner of CGST, 2023 (8) TMI 995- CESTAT NEW DELHI wherein it was held that merely because the assessee is required to self- assess his tax liability and that the Department only came to know about the wrongful availment of Cenvat Credit only because it conducted audit does not imply that the Appellant had the intention to evade tax liability. The Hon'ble ....
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....raised under wrong category i.e. commerce or industrial construction service will not sustain. In support of his submission he placed Reliance on the following Judgments:- Sandeep Sobti Vs CCE 2008 (11) STR 115 (T) Sima Engg. Constructions Vs CCE 2011 (21) STR 179 (T) Kedar Construction Vs CCE 2015 (37) STR 631 (T) GD Goenka Pvt. Ltd Vs CGST 2023 (8) TMI 995- CESTAT Dinesh Chandra R Agrawal Infracon Pvt. Ltd Vs CGST 2023 (11) TMI 1080-CESTAT Jija Builders Vs CCE 2018 (4) TMI 730-CESTAT B. R. Kohli Construction Pvt. Ltd Vs CST 2017 (4) TMI 38-CESTAT 3. Shri Rajesh K Agarwal, Superintendent (AR) appearing on behalf of the Revenue reiterates the finding of the impugned order. ....