Custom, Excise & Service Tax Tribunal
M/S Hindustan Shipyard Ltd vs Commissioner Of Central Excise, ... on 29 January, 2018
CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL REGIONAL BENCH AT HYDERABAD Division Bench Court I Appeal No. ST/498 & 534/2008 (Arising out of Order-in-Original No. 31/2007-08 (RS) dated 09.05.2008 passed by Commissioner of Central Excise and Custom, Visakhapatnam) M/s Hindustan Shipyard Ltd., ..Appellant(s) Vs. Commissioner of Central Excise, Customs and Service Tax, Visakhapatnam-I ..Respondent(s)
Commissioner of Central Excise & Customs, Visakhapatnam-I ..Appellant(s) Vs. M/s Hindustan Shipyard Ltd., ..Respondent(s) Appearance Shri S. Thirumalai, Advocate for the Appellant.
Shri Kanthi Nandi, Assistant Commissioner (AR) for the Respondent.
Coram:
Honble Mr. M.V. RAVINDRAN, MEMBER (JUDICIAL) Honble Mr. MADHU MOHAN DAMODHAR, MEMBER (TECHNICAL) Date of Hearing: 29/01/2018 Date of Decision: 29/01/2018 FINAL ORDER No. A/30141-30142/2018 [Order per: M.V. Ravindran] These two appeals are directed against Order-in-Original No. 31/2007-08 (RS) dated 09.05.2008.
2. Revenue has filed appeal No. ST/534/2008 for against Order-in-Original which has granted abetment in respect of various reimbursement of expenses while the appeal filed by the appellant Hindustan Shipyard Limited ST/498/2008 is a substantial appeal wherein the service tax liability on any taxable services.
3. Heard both sides and perused the records.
4. Learned Counsel submits that the Adjudicating Authority has confirmed the demand of service tax under the category of Consulting Engineering Services and Repairs & Maintenance Services for the services received by the appellant from various service providers who are based abroad the reverse charge mechanism, for the services received by appellant the before provisions of the Section 66A came in to effect from 18.04.2006.
5. On careful consideration of submissions made by both sides and on perusal of records, we do find the demands have been raised under reverse charge mechanism. The law is squarely settled and it has been held by the Apex Court in the various judgements that the demand of service tax as recipient of services would apply from 18.04.2006 only; CBEC has also issued a circular dated 01.08.2012 to that effect. Accordingly, the demands confirmed by the Adjudicating Authority are incorrect and impugned orders are unsustainable and liable to be set aside and we do so. Since we set aside the impugned order, the appeal filed by the Revenues appeal is dismissed.
6. The appeal M/s Hindustan Shipyard Limited is allowed with consequential reliefs, and Revenues appeal stands dismissed.
(Order dictated & pronounced in open court)
MADHU MOHAN DAMODHAR M.V. RAVINDRAN
MEMBER (TECHNICAL) MEMBER (JUDICIAL)
Lakshmi.
Appeal No. ST/498 & 534/2008
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