Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | The Contract Labour |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | The Contract Labour (Regulation and Abolition) Act, 1970 – Service Tax –Appellant obtained service tax registration under the category of ‘Manpower Recruitment or Supply Agency Service’ – Appellant entered into an agreement with a company ‘S’ and was required to provide personnel for manufacturing activities Commissioner of Central Excise, Pune issued show cause notice to appellant demanding service tax – Allegations were that appellant had failed to assess and discharge service tax liability regarding supply of manpower to company ‘S’, suppressed the facts and made a misrepresentation by filling incorrect ST-returns – The adjudicating authority held that appellant habitually delayed paying service tax and that supply of labour by appellant to ‘S’ on piecemeal basis did not alter the characteristic of manpower services provided – Order was challenged in appeal before Tribunal – Tribunal held that service provided by appellant to ‘S’ was not in nature of job work service liable to be exempted, but in the nature of contract labour – On appeal, held: Issue is whether the apellant is job worker or is merely a supplier of contract labour for the work of the establishment – The fact that the appellant is not a job worker is evident from a conspicuous absence in the agreement of crucial contractual terms which would have been found had it been a true contract – On reading the agreement as a whole, it is apparent that the contract is pure and simple a contract for the provision of contract labour – An attempt has been made to camouflage the contract as a contract for job work to avail of the exemption from the payment of service tax – Judgment of Tribunal does not suffer from any error of reasoning |
Judge | Hon'ble Dr. Justice D.Y. Chandrachud |
Neutral Citation | 2022 INSC 201 |
Petitioner | Adiraj Manpower Services Pvt. Ltd. |
Respondent | Commissioner Of Central Excise Pune |
SCR | [2022] 1 S.C.R. 1150 |
Judgement Date | 2022-02-18 |
Case Number | 313 |
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