Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Finance Act 1994: ss.2(23) s.65 (76b) s.65(105)(zr) and s.65 (105) (zzzf) - Service tax - Service rendered by appellant in the manufacturing unit of Principal manufacturer - s.65 (23) |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Finance Act, 1994: ss.2(23), s.65 (23), s.65 (76b), s.65(105)(zr) and s.65 (105) (zzzf) - Service tax - Service rendered by appellant in the manufacturing unit of Principal manufacturer - Liability sought to be fastened on the appellant on ground that service rendered by appellant 01nounted to "cargo handling service", however, appellant claimed that service rendered by it amounts to a "packaging activity'', which has become exigible to service tax by amendment to Finance Act, 1994 and by insertion of s.65(76b) and s.65(105)(zzzf) with effect from 16.06.2005 - Tribunal found appellant liable to pay service tax for its activity for period prior to 2005 - Held: Cargo is understood to denote goods which are ready for transportation whereas packaging of goods is a stage prior - Activity undertaken by the appellant, though related to packing activity, is at a stage when the goods are yet to clear the factory gate as manufactured goods for onward transportation - Admittedly, the appellant has nothing to do with the transportation of goods which it packs within the factory unit of the principal manufacturer prior to the goods leaving the factory - All activity undertaken by the appellant is related to packaging activity - ''packaging activity" uls.65(76b) and "service rendered in relation to packaging activity" u/s.65(105)(zzzj) were inserted by the Finance Act, 2005, which is sufficiently indicative of legislative intent that packaging activity is different from cargo handling activity - Making appellant liable to tax for pre-amended period (prior to 16. 06. 2005) on basis that the activity undertaken by it involves rendering of cargo handling service would run counter to the express legislative intention, in a situation where liability of appellant for post amendment period in ''packaging activity" has not been -even disputed by the Revenue - |
Judge | Honble Mr. Justice Ranjan Gogoi |
Neutral Citation | 2017 INSC 214 |
Petitioner | Signode India Limited |
Respondent | Commr.of Cen. Excise & Customs - Ii |
SCR | [2017] 6 S.C.R. 997 |
Judgement Date | 2017-03-08 |
Case Number | 6038-6039 |
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