TaxTMI 
TaxTMI 
2025 (6) TMI 442
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....Chakraborty & Ms. Pranjal Mathur, Advocates for the Appellant Shri D.Sue, Authorized Representative for the Respondent ORDER Per Shri Ashok Jindal All the appeals are having a common issue and arising out of a common order therefore all are disposed of by a common order. 2. The facts of the case are that the appellant namely M/s. National Projects Construction Corporation Ltd. was entrusted with the execution of flood lighting work along the Indo-Bangladesh Border within the state of Tripura & Meghalaya for which appellant has executed Memorandum of Understanding(s) with the Ministry of Home Affairs. The contract was executed on "Deposit Basis" as per CPWD norms and the appellant acted only as an executing agency and supervis....
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....lighting work which includes the amount of purchasing materials and the appellants had purchased have paid those materials and paid applicable VAT and Sales Tax. In that way the activity undertaken by the appellants falls under the category of Works Contract Service as held by the Hon'ble Apex Court in the case of Larsen & Toubro Ltd. v. CCE [2015 (39) S.T.R. 913 (A.C.)] and same was followed by this Tribunal in the case of Vishwanath Projects Limited versus Commissioner of Service Tax, Hyderabad, 2019 (11) TMI 675-CESTAT, Hyderabad. Therefore, demand of Service Tax under the category of "Erection, Commissioning or Installation Services" (ECIS) is not sustainable. 8. On the other hand, Ld. Authorized Representative supported the impu....
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....ting up of such bio-gas plants were reimbursed by the central government by way of a grant under the CSS. Jurisdictional service tax authorities demanded service tax from the State government department/agency, saying that the reimbursements received by the concerned State government department/agency (as service provider) are nothing but consideration for installation and commissioning service received from the central government (service receiver). 2. Implicit in this service tax demand is an assumption that the relationship between Central government and the State government is an equivalent of a relationship between principal and the agent. This assumption is questionable as under administrative arrangement, State governments a....
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....h no clear demarcation/vivisection between the service component and the material component thereof. We, therefore, do not agree with Ld. DR that the contract can be vivisected, in this case and the demand has been raised on the entire value of the contract including the material part of it because the appellant failed to provide the break up. Had there been a break up of the material and the service components in the contract itself, the demand would have been raised on the service component ignoring the material. There is nothing on record which is placed before us which shows that there are two different contracts or a single contract with two separate distinct components for supply of material and rendition of services. In view of the a....