RELIABLE SURFACE CARE Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) BOTH the stay petitions are being disposed of by a common order. We find that the demand of duty confirmed in one case is to the tune of Rs. 4,53,493/ - and in the other appeal is Rs. 1,68,995/ -. The Appellants have already deposited an amount of Rs. 2,54,233/ -. By treating the same as sufficient for the purpose of stay, we dispense with the condition of pre -deposit of balance amount of duty and entire amount of penalties. At this stage, we propose to dispose of the appeals itself with the consent of both sides. The said service tax stands confirmed against the Appellants on the ground that the painting job being provided by them to their clients is classifiable under the category of 'Commercial or Industrial Construction Services' and is liable to service tax. Accordingly, for the period from October 2005 to March 2007, involved in both the cases, service tax stands confirmed against the Appellants along with imposition of penalties.

(2.) IT is seen that Clause 25(b) of Section 65 of the Finance Act, 1994, defines 'Commercial or Industrial Construction Services. Sub -clause (c) refers to completion and finishing services such as glazing, plastering, painting, floor and wall tiling' '....' Inasmuch as the Appellants were provided painting services to their clients, Revenue entertained a view that the same is covered under the category of 'Commercial or Industrial Construction Services'.

(3.) LEARNED advocate submits that both the pleas are legal pleas and in fact, subsequent to 01.6.2007 i.e. the date of introduction of Works Contract Services to tax liability, they had been registered under the said category and have been paying the service tax for the same. It is well settled legal position that any subsequent service, under the category in which the Assessee falls, cannot be held to be covered by any precedent service. Learned advocate also refers to another order of Commissioner (Appeal) in the case of M/s. Reliable Services Coating ' Order in Appeal No. SKSS/214/Surat -II/2010 dated 18.11.2010, passed in respect of their own sister concern, vide which their plea of the Assessee falling under Works Contract Services, was accepted.