TaxTMI 
TaxTMI 
2025 (11) TMI 1878
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....appeal before the Tribunal. 2. The Ld Counsel, appearing for the appellant makes the following submissions: Break-up of Demand as per Order-in-Original dated 24-02-2017 Sl. No. Category of Service/Grounds of demand Value of Services Service Tax/Cenvat Demand (Rs.) 1 Mining Services 5,12,93,594/- 53,01,004/- 2 Disallowance of CENVAT Credit 23,41,941/- 3 Works Contract Service 2,43,140/- 30,052/- 4 Difference in reconciliation between P & L A/c and ST3 returns 35,110/- 4,340/- TOTAL DEMAND 5,15,71,844/- 76,77,337/- 3. In respect of the confirmed demand of Rs.53,01,004, he submits the defence of the appellant by way of the following Table : Details of Work Orders for Transportation of Coal on which Tax demanded Sl. No Party Name Work Order/ Agreement No. & Date Value of Services Service Tax Demanded Nature of Work 1 BLA Projects Pvt. Ltd.- INPIT BLAPPL/ECL/INPIT/ 0151 Dt. 23.02.2010 3,93,74,693/- 40,55,593.38 "Loading &&....
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....y Corp. Vs. CCE reported in 2024 (9) TMI 926-CESTAT KOLKATA; (iii) Ambey Mining Pvt. Ltd. Vs. CCE (2024) 23 Centax 430 (Tri-Cal); (iv) Ambey Mining Pvt. Ltd. Vs. CCE Final Order No.75511/2025 dated 20-02-2025 in Appeal No.ST/75735/2028; 8. The logistic services (like transportation service) having remote connections with mining activity can not be included in entry (zzzy), merely on the strength of the words "in relation to". The logistics services rendered in mines, like the one in hand, are either "premining" or "post mining" activities and not in relation to mining. 9. The Appellant submits that in respect of Goods Transport Agency Services in terms of Sec.68(2) of the Act read with Rule 2(1)(d)(v) of the Service Tax Rules, 2002 (upto 30-06-2012) and Rule 2(1)(d)(i)(B) of the Service Tax Rules, 1994, under the Reverse Charge Mechanism the consignee/service recipient being one of the specified persons, are liable to pay service tax and the Appellant herein is not liable to pay service tax on the said services. 10. It is submitted submits that the CENVAT Credit in the instant case is denied traversing beyond the scope of show cause notice, hence, exfacie....
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....d fact of the instant case most humbly submits that denial of CENVAT Credit is wholly illegal and unreasonable. 17. The Appellant submits that the demand of Service Tax of Rs.30,052/- under the category of "Works Contract Services" for "Road Construction" is illegal, arbitrary and perverse. 18. The Appellant further submits that the service tax demand of Rs.4,340/- without specifying the nature of services, is wholly illegal and arbitrary and without authority of law. 19. The Appellant in the above background of the case submits that in any view of the matter, the entire demand fails on merit 20. The dispute in the instant case relates to the period 2009-10 to 2013-14 whereas the SCN is issued on dated 24-07-2016, hence, the entire demand is barred by normal period of limitation of one year. The instant proceeding is initiated on the basis of Audit of Books of Accounts and scrutiny of Profit & Loss A/c [Schedule XV (Other Income) of the Appellant. No fresh material is brought by department to allege any suppression of facts. Hence, the entire demand is barred by normal period of limitation of one year. In the case of CCE Vs. Hindustan Cables Ltd. reported in 2022 (382) ....
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....he extract of the Contract is given below : Sample invoices raised by the appellant are extracted below : 25. The documentary evidence clearly shows the consideration being received only towards transportation of coal and cannot be equated with 'Mining Services'. 26. This Tribunal in the case of Calcutta Industrial Supply Corpn Vs Commissioner of CGST & Excise Kolkata - vide Final Order No.76985-76986/2024 dated 30.8.2024, has held as under : "10. The assessee further submits that the demand has been raised under the catagory of "Mining Service". The activity undertaken by the assessee, is the transportation of coal up to the distance of 7 km, which is incidental loading and the same is taxable under "Transport of Goods by Road Service as held by the Hon'ble Supreme Court in the case of Commissioner of Central Excise and Service Tax, Raipur Vs. Singh Transporters reported in 2017 (4) GSTL 3 (SC), wherein it has been held that the transportation of coal from pit head to railway siding inside the mines is taxable as "Goods Transport Agency Services". In this case, the Hon'ble Supreme Court has held as under: "5. Though the leamed Customs....
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....he effect that the capital goods bought by the appellant are required to be capitalized. Based on the accounting practice, the appellant may treat the same as 'Revenue Expenditure' as advised by their Chartered Accountant. The only point to be seen is as to whether, the goods have been properly accounted for in their books of account or not. From the proceedings we do not any allegation to the effect that the capital goods in question were not received in the factory premises of the appellant. 29. The appellant has submitted CA's certificate alongwith the ledger copy of Tata Motors towards the Invoices revised by them and payments made to the us. The same is extended below. 30. We do agree that the appellant cannot take the stand that the OIO has traversed beyond the scope of SCN, since as pointed out by the Ld AR, the Adjudicating authority has recorded that the appellants did not provide the documents when called for. Therefore, he would not have known the shortcomings subsequently discovered in the Invoices. However, the Tribunals / Courts have been consistently holding that Cenvat is granted so as to avoid the cascading effect and so long as the goods in question reach th....
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.... stands allowed. The appellant would be eligible for consequential relief, if any, as per law. (Pronounced in the open court on. 06.11.2025) ============= Document 1 ANNEXURE " Transport Misc -92- EASTERN COALFIELDS LIMITED (A Subsidiary of Coal India Ltd) Office of the Chief General Manager (CMC) Contract Management Cell , Sanctorin Po : Dishergarh , Dist : Burdwan (WB)-Pin-713 333 Ref. No : ECL/HQ/CMC/Transport/W.O/RJML/1005 M/s.Banowarilal Agarwalla Pvt. Ltd. 234/3A AJC Bose Road, Dated : 10/12/09 3rd Floor, Kolkata -700020 'BY REGISTERED POST' Sub :- Work order for " Loading & transportation of coal By tippers from quarry bed to surface including water Spraying & grading on entire route within lead range of 4-5 KM and 5-6 KM at Raimhal Area. Ref .:- (1) Your offer in response to tender Notice No. ECL/HQ/CMC/NIT/ Transport/922 dt. 14/07/09 & your subsequent letter no.Nil dt. 19/09/09. (2) LOINo, ECL/HQ/CMC/LOI/Transport/ 990 Dated : 12/11/09. Dear Sirs, Pursuant to the above referred NIT, Tender was invited for the above-mentioned work and were opened on. 21/08/09 in presence of tenderer or their representatives and you had submitted a tender and ....
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....amount will have to be deposited by you within 28 days of issue of this letter of acceptance in any of the form given below : - a Bank Guarantee in the form given in the bid document by Scheduled Bank listed with RBI valid for a period of one year or 90 days beyond the period of contract , whichever is more. - Govt. Securities, FDR or any other form of deposit stipulated by ECL - Demand Draft drawn in favour of Eastern Coalfields Limited on any Scheduled Bank listed with RBI payable at its Branch at Asansol. The bid security deposited in the form of Bank Guarantee as Earnest Money shall be discharged after submission of performance security as mentioned above. Failure to comply with the requirement as above shall constitute sufficient ground for cancellation of award of the work and forfeiture of Bid Security. 3 Retention Money will be deducted at 5% from your running bills. Total of Performance security and Retention Money should not exceed 10% of annaulised value of contract amount or lesser sum indicated in the bid document. 4. The refund of Performance Security Deposit and Retention Money will be guided as stipulated in clause 4.5 & 4.6 of General Terms and....
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....2011. We hereby confirm that the attached ledger for Tata Motors Limited is true and valid to the best of our knowledge and based on the information provided to us. For Murmuria & Associates Chartered Accountants FRN: 316188E Dated: 19/09/2025 Sunil Marmo. UDIN: 25052943BMIKSL8280 CA Sunil Murmurla Proprietor Membership No .: 300-52943 Document 6 BLA INFRASTRUCTURE PVT.LTD. UNIT-B1.4TH FLOOR, FMC FORTUNA, 234/3A, A J C BOSE ROAD. KOLKATA - 700 020 TATA MOTORS LIMITED Ledger Account 1-Feb-10 16 31-Mar-10 Date Pago Credit Particulars Vch Type Vch No. Debit 3,86,351.00 13-Mar-10 To SREI EQUIPMENT FINANCE (P) LTD Journal Ch, No. : 385150 ISSUED TO SREI EQUIPMENT FINANCE (P) LTD. FOR DOWN PAYMENT OF 14 TATA HYVA LPK 2518 14 CUM FOR LALMATIA SITE. 31-Mar-10 By (as per details) 18,01,970.00 Journal TATA HYVA (E.NO. 01C62857822) 16,43,813.31 Dr 1,53,550.19 Dr DEF CENVAT ON MACHINERY DEF EDU CESS ON CENYAT ON MACHINER DEF SANS EDU CESS ON CENVAT ON MACHINERY INVOICE NO. A/924651356 DT. 31.03.2010 OF TATA MOTORS TOWARDS PURCHASE OF 14 CUM FRT. ENDBOX TIPPER MODEL NO. LPK2518/38 TCBSII, CHESIS NO. MAT448091A3C04684, ENGINE NO. 01....