Imposition of service tax on composite works contract prior to 1st July 2007 is untenable

Graphisads Pvt Ltd Vs Commissioner of Service Tax (CESTAT Delhi) CESTAT Delhi held that imposition of service tax on composite works contract prior to 1st July 2007 i.e. prior to introduction of works contract service is unjustified and untenable in law. Facts- Based on the audit objection, a Show Cause Notice was served upon the appellant proposing the demand of short paid service tax of Rs.5,74,53,644/- along with the education cess of Rs.6,06,980/- to be recovered from the appellant along with the proportionate interest and the appropriate penalties. The said proposal has been confirmed by ...