2025 (3) TMI 846

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....agreement dated 23.02.2011 with Smart City (Kochi) Infrastructure Pvt. Ltd. to lease-out two pieces of land for consideration of Rs.104 Crores. The earlier agreements were entered on 15.11.2007 and 29.07.2008. It was cancelled due to lack of formal approval from Govt. of India for setting up SEZ or ITES in all the properties scheduled in the cancelled lease deeds. The approval for the above said plot as Special Economic Zone (SEZ) was obtained on 21.04.2008 and as per the Notification No.41/2006 dated 22.09.2016, taxable services provided by the State Industrial Development Corporations granting long term lease of industrial plot is exempted from service tax on the one time upfront amount for such lease. However, alleging that the activity ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e said lease deed is declared as Special Economic Zone (SEZ) and it was approved on 21.04.2008. The fact being so, the demand made by the appellant is rightly dropped by the adjudication authority. The learned counsel further drew our attention to the finding of the adjudicating authority where it is specifically stated that the benefit of the Notification cannot be restricted to State Government Industrial Development Corporation/Undertaking and open to State Government itself; thus, the adjudicating authority has adopted a broader prospective and considering the above, the demand was dropped. 4. Heard both sides. It is an admitted fact that the lease deed was executed for entering into a Special Purpose Vehicle under Smart City (Kochi) I....