Case Law Details
Panoli Enviro Technology Limited Vs Commissioner of Central Excise & ST (CESTAT Ahmedabad)
The CESTAT, Ahmedabad in M/s Panoli Enviro Technology Limited v. Commissioner of Central Excise & ST, SURAT-II [Service Tax Appeal No. 10813 of 2013-DB dated July 07, 2023] held that the effluent does not qualify to be a ‘good’ as per the Sales of Goods Act, 1930 (“the Sales of Goods Act”) and as per definition of Goods Transport Agency (“GTA”) only the transportation of ‘goods’ is covered under GTA service. Thus, transportation of effluent by GTA is out from the ambit of service tax.
Facts:
M/s Panoli Enviro Technology Limited (“the Appellant”) raised the query regarding the applicability of service tax on GTA in relation to the transportation of effluent (‘liquid sewage waste’) generated during the effluent treatment process carried out by the Appellant.
The Appellant submitted that the transportation of effluent is not for sale, moreover the effluent is not in the saleable condition therefore, the transportation of effluent not liable to service tax because the definition of GTA which states that ‘any person who provides service in relation to transport of goods by road and issues consignment note, by whatever name called.’
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