Service tax not payable on management, maintenance or repair of roads between 16-6-2005 to 26-6-2009

CESTAT, NEW DELHI BENCH

Mehar Singh & Co.

versus

Commissioner of Central Excise, Chandigarh

FINAL ORDER NO. 55380 OF 2013
STAY ORDER NO. 55707 OF 2013
APPLICATION NO. ST/STAY/5196 OF 2012
APPEAL NO. ST/4089 OF 2012

JANUARY  22, 2013

ORDER

Ms. ArchanaWadhwa, Judicial Member

After hearing both sides, we find that the issue involved in the present matter is in relation to the appellant activity for repair and maintenance of roads under the contract with National Highway Authority of India. The lower authorities have held that the appellant is liable to pay service tax under the category of repair and maintenance.

2. Both sides agree that vide section 97 of the Finance Act, 2012, such activity was granted retrospective exemption w.e.f. 16.06.2005 to 26.06.2009. Inasmuch as the period involved in the present matter is from 31.01.2006 up to 18.04.2006, we hold that the appellant is not liable to pay any service tax on the activities of repair and maintenance of roads. Accordingly, impugned order is set aside and appeal is allowed with consequential relief. Stay petition along with appeal get disposed of as above.

NF