Order Date – 20 April 2023

Parties: Siddharth Industries Vs C.C.E. & S.T.-Vadodara-i

Facts – 

• The Appellant, Siddharth Industries was alleged that since they have not provided the plant, machinery, equipment during the course of erection, installation of underground cable, they are not eligible for exemption under notification no. 1/2006-ST dated 01.03.2006.

Issue – 

• Whether the appellant is eligible for concessional exemption in terms of notification no. 1/2006-ST dated 01.03.2006?

Order – 

• The Tribunal observed that identical service of laying of cable was considered by this tribunal in RISHABH TELELINKS wherein, the tribunal relying on the CBEC Circular No. 123/05/2010- ST dated 24.05.2010 held that the laying of cable is not liable to service tax, in the said case the revenue’s appeal was dismissed.
• Considering the consistent view taken by the tribunal in various judgments, it was held that the activity of the appellant that is pre-dominantly laying of underground cable is not eligible to service tax accordingly, the demand is not sustainable hence the same is set aside. Appeal is allowed.