TaxTMI 
TaxTMI 
2026 (1) TMI 854
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....dore wherein the demand of service tax amounting to Rs.2,68,19,780/- was confirmed along with interest and penalties. 2. The brief facts are that the appellant is engaged in work for road construction, specifically the Granular Subbase (GSB) portion. The services provided during the period October 2012 to March 2017 include: 1. Mining, quarrying, and blasting of boulders using explosives and pocklane excavators at quarry sites for road construction. Drilling and blasting is the controlled use of explosives to break rocks, typically practiced in mining, quarrying, and road construction. 2. Loading and transporting the excavated materials (boulders/rock and earth) to the construction sites via dumpers. 2.1 The Appellan....
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....ransfer of property in goods, as correctly concluded by the Adjudicating Authority based on judicial precedents. Since the Appellant failed to register, file returns, and suppressed the extent of their taxable activities, the demand confirmed under the extended period of limitation and the imposition of penalties for suppression of facts are legally justified. However, he accepted that the issue was covered by this Tribunal's decision as relied on by the learned counsel. 5. We have heard the learned counsel for the appellant and the learned authorized representative for the Department and perused the records. 6. We note that the said issue is no more res-integra and stands covered by this Tribunal's decision in M/s. Navdeep Traders (s....
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....y in goods (whether as goods or in some other form) involved in the execution of a works contract and such transfer, delivery or supply of any goods shall be deemed to be a sale of those goods by the person making the transfer, delivery or supply and a purchase of those goods by the person to whom such transfer, delivery or supply is made. The definition of "goods" in clause (12) is inclusive. It includes all materials, commodities and articles. The expression, "goods" has a broader meaning than merchandise. Chattels or movables are goods within the meaning of clause (12). Sub-clause (b) refers to transfer of property in goods (whether as goods or in some other form) involved in the execution of a works contract. The expression "in some oth....
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....ty as goods. Hence it is liable to tax under Article 366(29A) (b) of Constitution as was introduced vide 46th Amendment of 1982 Act. xxx xxx xxx 19. Thereafter came the decision of Hon'ble Apex Court in the case of M/s. Larsen & Toubro (supra). The Court after extensive and elaborate discussion once again specifically negated the argument predicated on "dominant intention test" in the following words:- 64. Whether contract involved a dominant intention to transfer the property in goods, in our view, is not at all material. It is not necessary to ascertain what is the dominant intention of the contract. Even if the dominant intention of the contract is not to transfer the property in goods and rather it is the ....
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....come". It then went on to say that all the sub-clauses of Article 366(29A) serve to bring transactions where essential ingredients of a 'sale' as defined in the Sale of Goods Act, 1930 are absent, within the ambit of purchase or sale for the purposes of levy of sales tax. 20. In the light of 46th amendment, any service in the nature of works which involves utilization of goods is classifiable only as works contract service and that the transfer of goods in such contract has to be considered as the deemed sale. 21. Reverting to the facts of the present case, we observe that undisputedly, the assessee respondent was purchasing explosives from the authorized seller under a license for being used for the blasting purpo....