2026-VIL-883-CESTAT-DEL-ST
  1. Home
  2. 2026-VIL-883-CESTAT-DEL-ST

SERVICE TAX CESTAT Cases

Service Tax - Liability on construction of residential complex comprising individual houses, Merit of Macro Marvel Projects Ltd. vs CST case - Interpretation of "residential complex" definition under Section 65(91a) of the Finance Act, 1994 - Whether individual houses built as part of a layout with common facilities constitute a residential complex liable to service tax – HELD – The individual houses, being residential units as defined in the explanation to Section 65(91a), when constructed as part of a complex with more than twelve units and common facilities within an approved layout, squarely fall within the definition of residential complex. The explanation to the definition, inserted to remove doubts, explicitly declares that residential unit means a single house or a single apartment, and therefore the earlier judicial interpretation in Macro Marvel that individual houses do not qualify as residential complex is based on an incomplete reproduction of the definition and is contrary to the explicit statutory explanation. The finding in Macro Marvel that the law makers did not want individual residential houses to be subject to levy of service tax is contrary to the explicit explanation in the definition itself which was inserted to remove any doubts – The Revenue is correct in its submission that individual houses with some common facilities squarely fall in the definition of residential complex and the explanation in the definition for removal of doubts will remove any shadow of doubt on this issue. Since there are several decisions which followed Macro Marvel, this matter has to be referred to a larger bench to decide - During the relevant period, Macro Marvel order of this Tribunal was already issued, hence, it was reasonable for any assessee to presume that no service tax was payable on its activities if there was an order or judgment to that effect on the question. Therefore, extended period of limitation could not have been invoked in the present case - The impugned order is set aside and the appeal is allowed
Download File

Quick Search

/

Advance Search

GST Resources

/

Gst Rate Finder

Weekly Summary

VIL Video

GSTAT Appeal filed wrongly...
By CA Vivek Jalan

Create Account

Security-Code
New Code?

Log In

New User ? Forgot Password ?

Forgot Password

Security-Code
New Code?
Please Note: This facility is only for Subscribing Members.

Email this page

Security-Code
New Code?

Feedback this page

Schedule a Demo

Schedule a demo to know the features and advantages of VILGST portal. Get to know the tips to find the desired results in faster way.

Security-Code
New Code?

Caselaw Request Form (CRF)

Didn’t find what you are searching for? No worries, please give us the following details and VIL will email you the desired Caselaws at the earliest:

Security-Code
New Code?