No service Tax on Lease of Wagons to Railways when effective control rest with Railway & VAT/Sales Tax already paid

Advertisement MSPL Ltd Vs Commissioner of Central Excise and Customs (CESTAT Bangalore) Briefly stated the facts of the case are that the appellants are engaged in mining and sale/export of iron ore and are registered with service tax department. The appellants have availed ‘own your wagon scheme’ introduced by Indian Railways by purchasing and leasing out six rakes of railway wagons under agreements dated 23.2007 and 8.3.2007 to M/s. South Western Railway, Hubli; the dry leaves of wagons was initially for a primary period of 10 years extendable to secondary period of up to 20 years. Ce...