Order Date – 22 February 2023

Parties: R D Contractor & Company Vs Commissioner of Central Excise & ST, Anand

Facts –

• The Appellant, R D Contractor & Company, was engaged in construction of residential complex for the police staff to Gujarat State Police Housing Corporation Limited.
• The lower authorities have contended that Gujarat State Police Housing Corporation Limited is not a Government of Gujarat organization whereas the same is an independent Company registered under the Company’s Act therefore, service provided to Gujarat State Police Housing Corporation is liable to Service tax.

Issue – 

• Whether construction service provided for construction of residential complex for the police staff is liable to Service tax?

Order –

• The Tribunal held that the Gujarat State Police Housing Corporation Limited is 100% owned by Government of Gujarat under the Ministry of Home Affairs therefore the same was held to be a government organization in various judgments.
• This very issue pertains to Gujarat State Police Housing Corporation Limited has been considered by this Tribunal in the case of Sh. DH Patel and Sh. RN Dobariya vs. CCE, Surat held that ”It can be seen that the issue involved in the case in S Kadirvel vs. CCE. Tiruchirapalli as was before the South Zonal Bench, Chennai is the same, hence, respectively following view already taken by the bench, we hold that the appellant has made out a case for the complete waiver of the pre-deposit of the amounts involved. Application for the waiver of pre-deposit of the amounts involved is allowed and recovery thereof stayed till the disposal of appeals.”
• Hence the appeal is allowed.