ALUMINIUM AND GLAZING, REP BY M A ALBIN DHAS, PROPRIETOR Vs. COMMISSIONER (APPEALS-I), O/O COMMISSIONER OF SERVICE TAX (APPEALS-I)

JUDGEMENT

(1.) Mr.K.Ravi, learned Senior Panel Counsel accepts notice for the respondent. Heard both. Since the issue involved in this writ petition lies in a very narrow compass, the writ petition itself is taken up for final disposal without following the procedure of directing the respondent to file counter.

(2.) The petitioner is a proprietaryship concern registered with the Service Tax Department under the category 'Commercial or Industrial Construction Services and Construction of Residential Complex Services'. The petitioner is stated to be engaged in the business of Structural Glazing and Cladding. The petitioner claims that the activity would fall under the category 'Erection, Commissioning or Installation Services' as per Section 65(39a) of the Finance Act, 1994. The petitioner availed abatement under Notification No.1/2006 dated 01.3.2006 and paid service tax on 33% of the total contract value. The reason for availing the benefit of the said Notification is on the ground that the activity done by them is covered under the category 'Erection and Installation Services'. The petitioner also claimed abatement (deduction) under Notification No.12/2003 dated 20.6.2003 to the extent of the value of the goods involved in the execution of the contract. Therefore, the petitioner would state that the service tax paid by them was sufficient as per law.

(3.) However, the Department did not agree with the petitioner's stand and sought to deny the benefit of abatement under Notification No.1/2006 dated 01.3.2006 on the ground that the activity of the petitioner was covered under 'Completion and Finishing Service' under the category 'Commercial or Industrial Construction Services' and to that effect, a show cause notice dated 19.8.2009 was issued to the petitioner for the period from April 2006 to March 2008 demanding service tax at 10% on the total contract value. The Original Adjudicating Authority confirmed the demand made in the show cause notice and passed an order to that effect by Order-in-Original dated 28.3.2012. Against such an order, the petitioner preferred an appeal before the Commissioner (Appeals), in which, a direction was issued on 18.1.2013 to pre-deposit a sum of Rs.19.50 lakhs on or before 08.2.2013.