Nagarjuna Construction Company Ltd. Versus Government of India (Andhra Pradesh HC)

The Circular No. 98/1/2008-ST dated 01-01-2008 issued by the 1st respondent is in challenge.  On a true and fair construction of Rule 3(3) of the 2007 Rules, it is clear that where in respect of a works contract service tax has been paid, no option to pay service tax under the composition scheme could be exercised. There is no ambiguity in this provision. The entitlement to avail the benefits of the composition scheme is only after an option is exercised under Rule 3(3) of the 2007 Rules and this provision specifically enjoins a disqualification for exercise of such option where service tax h...