Introduction: This article provides an overview of the Supreme Court’s dismissal of the appeal filed by the Service Tax department in the case of Commissioner of CGST & Central Excise vs. Konkan Railway Corporation Ltd. The court found no reason to interfere with the findings of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT).
Analysis: The case revolves around a demand for service tax imposed on the Konkan Railway Corporation for its work on laying railway lines for the National Thermal Power Corporation. The Revenue argued that the exemption under a specific notification did not apply to private railway siding and that the work constituted a material handling system for NTPC. However, the CESTAT, Mumbai allowed the appeal, stating that the term “railway” was not defined under the Finance Act and that the definition under the Railways Act covered private railways as well. The Supreme Court, after considering the matter, dismissed the appeal, concurring with the findings of the CESTAT.
Conclusion: The Supreme Court’s dismissal of the appeal signifies its agreement with the CESTAT’s decision in the Commissioner of CGST & Central Excise vs. Konkan Railway Corporation Ltd. case. The court found no grounds to interfere with the findings and concluded that the impugned judgment does not require any intervention.
The matter was argued by Ld. Counsel Bharat Raichandani
FULL TEXT OF THE JUDGMENT/ORDER OF SUPREME COURT OF INDIA
This Court is of the opinion that the impugned judgment does not call for interference. The civil appeal is accordingly dismissed.
Pending application(s), if any, are also disposed of.