2024 (9) TMI 1824

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....ed rate stipulated in terms of the Agreement for the period April 1, 2016 to June 30, 2017. 2. The facts of the case are that the appellant is engaged in the manufacture of aluminium. 2.1 The present dispute in the present case, arises relating to levy of service tax on water charges paid by the appellant to the Government of Odisha for supply of water against charges/consideration at a specified rate stipulated in the Agreement dated 29.09.1988. 2.2 It was observed that the supply of water by the Government from natural water sources i.e. Kerandi River of Upper Kolab Reservoir to the appellant falls under the category of "allocation/auction of natural resources", which is liable to pay service tax w.e.f. 01.04.2016. 2.3 Therefore, a sh....

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.... company and fixed in accordance with the rules made under the Act. Rule 71A also provides that water may be supplied with the prior permission of the State government for any industrial purpose to a private person at the rates not less than the rates specified in Column (3) of the Table. 17. The Title of the Agreement also shows that it was for supply of water to the industrial power plant. The appellant was required to pay water charges to the government for the water drawn by it from the government water source at the rates fixed by the Water Department which would be Rs.5.50/- per cubic meter. In addition, the appellant was also required to pay local fund cess or any other tax as may be fixed by the government. The appellant was requ....