Contract Construction Services provided to GETCO exempted from Service Tax: CESTAT [Read Order]
Bench held that held that the works contract services provided by the applicant to (GETCO) for the activity of transmission of electricity are exempt from service tax
![Contract Construction Services provided to GETCO exempted from Service Tax: CESTAT [Read Order]](https://www.taxscan.in/wp-content/uploads/2024/09/CESTAT-Gujarat-Energy-Transmission-Corporation-Ltd-GETCO-under-CESTAT-TAXSCAN.jpg "Contract Construction Services provided to GETCO exempted from Service Tax: CESTAT [Read Order]")
In a recent ruling, the West Bengal bench of the Customs Excise and Service Tax Appellate Tribunal ( CESTAT ) held that the contract services for construction related to electricity transmission for Gujarat Energy Transmission Corporation Ltd. ( GETCO ) by the applicant are exempted from service tax. In this case, the appellant, Vraj Construction, provides contract work services related...
In a recent ruling, the West Bengal bench of the Customs Excise and Service Tax Appellate Tribunal ( CESTAT ) held that the contract services for construction related to electricity transmission for Gujarat Energy Transmission Corporation Ltd. ( GETCO ) by the applicant are exempted from service tax.
In this case, the appellant, Vraj Construction, provides contract work services related to the construction of C R Building, foundation, cable trench, compound wall, etc. for electricity transmission for GETCO.
Learn the Essentials of Sections 269 and 271
The main issue revolving around this case is whether the contract services of building, foundation, cable trench, compound wall, etc. provided by the applicant to GETCO are liable to service tax.
Rahul Gajera, the counsel on behalf of the assessee, contended that under Notification No. 45/2010-ST dated 20.07.2010 and Notification No. 11/2010-ST dated 27.02.2010, the services related to transmission of energy are exempted from service tax. He also relied on several judgments to prove his contention.
Anoop Kumar Mudvel, the counsel for the Revenue, reiterates the findings in the impugned order.
The bench observed that the contract services provided by the appellant, to GETCO, are for the activity of transmission of electricity, and this service was exempted retrospectively and prospectively under Notification No. 45/2010-ST dated 20.07.2010 and Notification No. 11/2010-ST dated 27.02.2010.
The bench further observed that the contract services provided for the construction of buildings and other work are in relation to the transmission of electricity, and are exempt from service tax under the above-mentioned notification.
Learn the Essentials of Sections 269 and 271
The CESTAT bench held that the works contract services provided by the applicant to Gujarat Energy Transmission Corporation Ltd. (GETCO) for the activity of transmission of electricity are exempt from service tax.
The bench, comprising of Ramesh Nair (Judicial) and C L Mahar (Technical), allowed the appeal filed by the appellant, Vraj Constructions, and the impugned order was set aside.
To Read the full text of the Order CLICK HERE
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