SEW CONSTRUCTION LTD. Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) THE Applicant has filed this application for waiver of pre -deposit of tax of Rs. 1.51 Crores approximately and penalties.

(2.) The relevant facts of the case, in brief, are that M/s. Bharat Heavy Electricals Ltd. was awarded a contract for setting up a Thermal Power Plant at Bhilai Electric Supply Company Ltd., Bhilai. The Applicant has entered into an agreement with M/s. BHEL for executing part of the work as sub -contractor. The Applicant was providing service under the category of "Site Formation and Clearance, Excavation and Earth Moving and Demolition Service" of Bhilai Electric Supply Company Ltd.

(3.) THE issue involved in this case is as to whether the Applicant has provided services attracting levy of Service tax as a sub -contractor who is liable to pay the tax. The learned Advocate on behalf of the Applicants drew the attention of the Bench to Trade Notice No. 26/03 dated 4 -11 -2003 issued by the Commissioner of Central Excise, Delhi -IV whereby it is clarified that the subcontractor need not take a registration under Service tax as the Service tax is to be paid by the main contractor, service provider. He submits that the contractor M/s. BHEL paid the tax on the entire contract.