BIRLA READY MIX Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) THE applicant filed this application for waiver of pre -deposit of amount of Service tax and penalties.

(2.) The demand is confirmed on the ground that the applicant received the goods transport agency service.

(3.) ON merit, the contention of the applicant is that the applicants are engaged in the manufacture of ready mix concrete and for this they hired transit mixture on hire for transport of ready mix concrete. As per the agreement applicants are paying Rs. 3718/ - per day for the vehicle provided at the disposal of the company. As per the scope of goods transport agency, it means any person who provides service in relation to transport of goods by road and issues consignment note by whatever name called. The contention is that in the present case no consignment note is being issued in respect of the transportation of goods. The trucks are specially designed for transportation of ready mix cement so that the concrete should not settle during the transportation. The contention is that for hiring such machinery become liable of Service tax with effect from 16 -5 -08, therefore, the demand is not sustainable.