Case Law Details
Visanthi & Co. Vs Commissioner of GST & Central Excise (CESTAT Chennai)
Introduction: In a recent ruling by the CESTAT Chennai, the case of Visanthi & Co. versus the Commissioner of GST & Central Excise was decided. The case revolved around the issue of service tax demand on composite contracts for commercial or industrial construction services. The ruling established that such demands were not sustainable both before and after June 1, 2007. In this article, we will provide a detailed analysis of the case and its implications.
Detailed Analysis:
1. Background: Visanthi & Co. is engaged in providing construction services and holds Central Excise registration for Commercial or Industrial Construction Service (CICS). The service tax demand was raised for the period 2007-08 to 2011-12 due to the alleged failure to discharge service tax liability concerning free supplies from customers.
2. Appellant’s Argument: Visanthi & Co. argued that their construction activities, mainly for educational institutions, were composite in nature, involving both the supply of materials and services. They contended that service tax demand under CICS was not sustainable.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
