Services in relation to distribution or transmission of electricity were exempt from service

Kedar Construction v/s Commissioner of Central Excise , Kolhapur. [2015]37 STR 631 ( Tri. Mumbai )

Services in relation to distribution or transmission of electricity were exempt from service tax vide notification No.45/2010- ST dated 20^th July 2010.

FACTS:

The Appellants rendered commercial or industrial construction service to Maharashtra state Electricity Transmission Co. Ltd and others for construction of substations and claimed exemption under notification No,45/2010-ST dated 20^th July 2010 which provides for exemption in respect of services  related  to distribution and transmission of electricity. The appellants contended that the exemption pertained to services in relation to distribution and transmission of electricity their activity of construction of sub stations which was used for the distribution and transmission was eligible for the exemption.

HELD:

It was held that all taxable services rendered in relation to transmission/distribution of electricity were eligible for benefits of exemption under the said notification.