Page 120 - GSTL_7th May 2020_Vol 36_Part 1

78 GST LAW TIMES [ Vol. 36
Beneficiation of coal - Mining service - Activity of beneficiation of coal
covered under the scope of mining related services under Section 65(105)(zzzy)
of Finance Act, 1994 w.e.f. 1 June, 2007 - On introduction of such a service from
1 June, 2007, definition of Business Auxiliary Service under Section 65(19) read
with Section 65(105)(zzb) ibid and, therefore, the activity covered under a new
category of mining related services cannot be classified under the existing cat-
egory of Business Auxiliary Service prior to 1 June, 2007. [paras 18, 21]
Strictures against Principal Commissioner - Three binding decisions of
Tribunal, on which reliance was placed by appellant, ignored by Principal
Commissioner by observing that the order of Supreme Court was a non-
speaking one line order and that the question of law had been kept open by
the Supreme Court when decision of the Tribunal in Aryan Coal Benefications
Pvt. Ltd. [2013 (29) S.T.R. 74 (Tribunal)] had not been set aside by Supreme
Court - This certainly did not give liberty to the adjudicating officer to deter-
mine afresh the legal issue - Principal Commissioner, however, not only ex-
ceeded his jurisdiction in taking a view contrary to the three binding decisions
of the Tribunal but even went to the extent of making observations on the or-
der passed by Supreme Court - Judicial discipline and propriety demands that
the Adjudicating Authority or the First Appellate Authority should follow the
binding decisions and not make uncalled for comments. [paras 23, 25, 26, 27, 28,
32]
Valuation (Service Tax) - Reimbursement charges towards transporta-
tion and railway freight, whether includible - Such reimbursement charges
cannot be treated as “gross amount charged” as that is not a “consideration”
for rendering the service and are, therefore, not includible in taxable value -
Section 67 of Finance Act, 1994. [para 40]
Appeal allowed

CASES CITED
Aryan Coal Benefications Pvt. Ltd. v. Commissioner
— 2013 (29) S.T.R. 74 (Tribunal) — Relied on ................................................ [Paras 4, 6, 11, 17, 23, 25]
Aryan Energy Pvt. Ltd. v. Commissioner
— 2009 (13) S.T.R. 42 (Tribunal) — Relied on ................................................ [Paras 4, 6, 11, 16, 17, 23]
Commissioner v. Aryan Coal Benefications Pvt. Ltd. — Order dated 12-2-2014
by Delhi High Court — Relied on ........................................................................................... [Paras 6, 23]
Commissioner v. Aryan Coal Benefications Pvt. Ltd. — Order dated 13-5-2015
by Supreme Court — Relied on ............................................................................................... [Paras 6, 23]
Hal Offshore Ltd. v. Commissioner — 2018-TIOL-1631-CESTAT-DEL — Relied on .................... [Para 20]
Indian National Shipowners’ Association v. Union of India
— 2009 (14) S.T.R. 289 (Bom.) — Relied on ................................................................................ [Para 18]
Intercontinental Consultants and Technocrats Pvt. Ltd. v. Union of India
— 2013 (29) S.T.R. 9 (Del.) — Referred .......................................................................................... [Para 4]
Kunhayammed v. State of Kerala — 2001 (129) E.L.T. 11 (S.C.) — Relied on ................................. [Para 33]
Malviya National Institute of Technology v. Commissioner
— 2019 (28) G.S.T.L. 472 (Tribunal) — Relied on ...................................................................... [Para 19]
Spectrum Coal & Power Ltd. v. Commissioner
— 2012 (28) S.T.R. 510 (Tribunal) — Relied on .....................................................[Paras 4, 6, 11, 17, 23]
Union of India v. Intercontinental Consultants and Technocrats Pvt. Ltd.
— 2018 (10) G.S.T.L. 401 (S.C.) — Relied on ............................................................................... [Para 37]
Union of India v. Kamlakshi Finance Corporation Ltd.
— 1991 (55) E.L.T. 433 (S.C.) — Relied on ........................................................................... [Paras 11, 29]

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