2024 (6) TMI 248

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....along with interest under Section 75 of the Finance Act, 1994 and also imposed equivalent penalty under Section 78 of the Act. 2. Briefly stated facts of the present case are that the appellant is a proprietary concern with Nand Ji Mishra as the proprietor. The appellant is a government contractor and was engaged in providing services to the Public Works Department (PWD) including services relating to construction and maintenance of roads, buildings and bridges. The department entertained the view that the construction undertaken by the appellant of the Cuisine Centre-cum-Job Training Institute in the Ethnic Tourist Complex in Chamkaur Sahib was in the nature of Commercial or Industrial Construction Service. Accordingly, a show cause notic....

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....aterial as well, which is substantiated from the fact that sales tax was paid on the material used in the execution of work contract. He further submits that in addition to the work of Earth Excavation, Earth Filling, Centering and Shuttering, Cement lying etc, the appellant also provided material such as bricks, cement, plaster, windows, pipes, cast iron shoe, paint etc. 4.5 He further submits that the demand made after 01.06.2007 under the category of 'Commercial or Industrial Construction Services' would not be sustainable as the only possible classification is 'Works Contract Service'. It is settled position of law that in such cases, the composite contracts are classifiable only under the taxable category of 'Works Contract Service'. ....

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.... classifiable only under the taxable category of 'Works Contract Service' and this issue is no more res integra and has been settled in various cases relied upon by the appellant cited supra. 9. Further, we find that the Tribunal in the case of Prime Developers Limited vs. CCE - 2018-TIOL-2867-CESTAT-MAD., deciding the case under similar circumstances, has held as under: "In the light of the discussions, findings and conclusions above and in particular, relying on the rates of the case laws cited supra, we hold as under:- a. The services provided by the appellant in respect of the projects executed by them for the period prior to 1.6 2007 being in the nature of composite works contract cannot haght within the fold of commercial or ind....