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5.3. In the instant case, it is also a fact that prior to and after the period in dispute, the appellant is paying service tax on the entire invoice value without disputing the fact that they are discharging VAT on part of the same value. Therefore, the question of not paying service tax on the entire value during the disputed period does not arise as the entire value is exclusively towards service element.

6. It is to be noted that the Karnataka Value Added Tax (KVAT), 2003, 'works contract' did not include computer software till 01.04.2006 and from 01.04.2006 onwards programming and providing computer software was levied to 4% tax as mentioned at Sl. No. 11 of the 6th schedule and at Sl. No. 14, Service and Maintenance of IT products including telecommunications was also levied to 4% tax. This amendment has brought in view of the ST/1192/2011 decision in the case of Tata Consultancy Services 2004 -TIOL- 87-CT-LB by the Hon'ble Supreme Court based on which Circular No. 17/06-07 dated 24.07.2006 was issued by the VAT authorities to incorporate computer software as part of the 'works contract' in terms of deemed sale.