TaxTMI 
TaxTMI 
2025 (2) TMI 12
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....ding in textile articles, by limiting liability to Rs. 48,02,615 on 'taxable service' valued at Rs. 75,97,734 and Rs. 2,83,55,732 for the period prior to 'negative list regime' respectively and on Rs. 147,55,495 for having rendered 'works contract service' after June 2012. 2. Appellant-assessee had entered into a contract with the Municipal Corporation of Greater Mumbai for establishment and upkeep of gardens, including safety and security of the premises, on which tax liability had not been discharged. The proceedings initiated against them sought to fasten levy on the premise that the activities, both prior to the 'negative list regime' that came into effect on 1st July 2012 and for the period thereafter, could not be disaggregated owing to which the section 65A(2)(b) of Finance Act, 1994 was operable for the prior period as 'composite service' with essential character identified from the contracted obligation as being akin to 'management, maintenance or repair service' and for the latter period as 'bundled service' in terms of section 66F(3)(a) of Finance Act, 1994. The objective of the two provisions are, patently, the same - for classification of activities into separate serv....
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....entral medians was questioned for wrongful conclusion to be as part of 'roads' that were intended for exemption from levy of service tax. Reliance placed by the original authority on decisions of the Tribunal in Himalaya Plantations v. Commissioner of Central Excise, Nagpur [2014 (5) TMI 577 - CESTAT MUMBAI] and Shree Mohangarh Construction Co v. Commissioner of Central Excise and Service Tax, Jaipur - II [2015 (6) TMI 17 - CESTAT NEW DELHI] was challenged for inapplicability from non-congruity of facts or from being an interim order respectively. Likewise grant of 'cum-tax' benefit even for the restricted amount that was confirmed has been challenged for non-conformity with the decision of the Hon'ble Supreme Court in Amrit Agro Industries Ltd v. Commissioner of Central Excise, Ghaziabad [2007 (210) ELT 183 (SC)] and of the Tribunal in Cellebrum Technologies Ltd v. Commissioner of Central Excise, Chandigarh [2015 (40) STR 707 (Tri. - Del.)] and in Commissioner of Central Excise, Aurangabad v. Rudra Galaxy Channel Ltd [2015 (38) STR 445 (Tri. - Mumbai)]. These were elaborated upon by Learned Authorized Representative. 5. Appeal of M/s Varad Vinayak Gardens contests confirmatio....
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....of Excise and Customs (CBEC) was not amenable to interpretation by departmental authorities as held by the Hon'ble Supreme Court in Collector of Central Excise, Vadodara v. Dhiren Chemical Industries [2002 (139) ELT 3 (SC)], in Commissioner of Central Excise, Bolpur v. Ratan Melting & Wire Industries [2008 (231) ELT 22 (SC)] and in Paper Products Ltd v. Commissioner of Central Excise [1999 (112) ELT 765 (SC)] and in decision of the Hon'ble High Court of Punjab and Haryana in Ambuja Cements Ltd v. Union of India [2009 (14) STR 3 (P&H)]. 7. We take note that proceedings against the assessee were initiated upon initial observation that the consideration received on contracts entered into with Municipal Corporation of Greater Mumbai (MCGM), despite treatment in the books of accounts and, more particularly, in the profit and loss account as 'income', was not subjected to tax liability on the ground of being exempted. Thereafter, the jurisdictional service tax authorities examined the contract with, as well as the several orders issued by, Municipal Corporation of Greater Mumbai (MCGM), and concluded that consensus ad idem of the two parties could be best described as 'maintenan....
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....consciously resorted to from the lack of wherewithal for disaggregating the consideration among the several activities in the respective contracts. In the absence of examination of the bills raised by the assessee on Municipal Corporation of Greater Mumbai (MCGM) details, obtainable from the assessee, recourse to the shortcut, transcending the intent of law, is incomplete adjudication. More so, as the adjudicating authority has applied the 'vanilla variant' of 'management, maintenance or repair service' as the benchmark for taxing activities that were premised to be inseparable without a finding on the appropriateness, or otherwise, of resort to the specific provision of section 65A of Finance Act, 1994. 9. We also take notice that partial disaggregation resorted to for taxing of 'works contract service' and 'security services', while excluding taxability for non-conformity of some with definition in section 65(64) of Finance Act, 1994, is tantamount to adoption of inconsistent ascertainment of leviability. There is no doubt that the provisioning of roads, facilities and infrastructure for residents of designated areas devolves statutorily upon 'local authorities' as defined ....