ST : Road constructed in a petrol pump to facilitate filling of fuel is not liable to service tax under category of ‘Commercial or industrial construction service’

Being aggrieved with the order passed by Commissioner (Appeals) Revenue has filed the present appeal. We have heard Shri R.S. Sarova, learned DR appearing for the Revenue and Shri Bishan R. Shah, learned advocate appearing for the respondents.

2. The facts of the case, in brief, are that the respondents are in the business of providing services under the category of “Commercial and Industrial Construction” and are holding valid registration. The respondents filed an application for refund for Rs. 2,99,462/- on 17.10.2007 before the JAC on the grounds that they had paid it wrongly for the construction of road which is exclude from the category of “Commercial and Industrial Construction” as defined under clause (25b) of Section 65 of the Finance Act, 1994. The said amount was paid against receipt of amounts for construction services rendered to a particular client during the period from 01.11.2006 to 31.03.2007. Since necessary documents evidencing exact nature of the services rendered, period of refund and amount of claim were not submitted a show cause notice was served to the appellants on 31.12.2007 on various grounds. The Assistant Commissioner adjudicated the said show cause notice vide impugned order wherein he rejected the claim for refund.