𝗖𝗘𝗦𝗧𝗔𝗧 𝗔𝗵𝗺𝗲𝗱𝗮𝗯𝗮𝗱: 𝗠𝗮𝗰𝗵𝗶𝗻𝗶𝗻𝗴 𝗼𝗳 𝗖𝗮𝘀𝘁𝗶𝗻𝗴 𝗔𝗺𝗼𝘂𝗻𝘁𝘀 𝘁𝗼 𝗠𝗮𝗻𝘂𝗳𝗮𝗰𝘁𝘂𝗿𝗲; 𝗧𝗵𝗿𝗲𝘀𝗵𝗼𝗹𝗱 𝗘𝘅𝗲𝗺𝗽𝘁𝗶𝗼𝗻 𝗔𝗽𝗽𝗹𝗶𝗲𝘀 𝘁𝗼 𝗥𝗲𝗻𝘁𝗶𝗻𝗴 𝗦𝗲𝗿𝘃𝗶𝗰𝗲𝘀 📢 𝗧𝗿𝗶𝗯𝘂𝗻𝗮𝗹'𝘀 𝗛𝗲𝗹𝗱: Machining of castings is manufacturing, exempt from BAS; renting services fall below threshold exemption, no service tax liability.

🔍𝗙𝗮𝗰𝘁𝘀: 𝗔𝗽𝗽𝗲𝗹𝗹𝗮𝗻𝘁: Ramaben Parmar performed machining job work and rented premises, facing service tax demands for both job work and renting. 𝗜𝘀𝘀𝘂𝗲: Is the appellant liable to pay service tax for job work activities and renting of immovable property?

⚖️ 𝗝𝘂𝗱𝗴𝗲𝗺𝗲𝗻𝘁: Machining of castings is considered "manufacture" under Section 2(f) of the Central Excise Act, 1944, exempting it from Business Auxiliary Service (BAS) tax. Additionally, after excluding job work value, the rental income falls below the threshold exemption limit, making service tax demands for both activities unsustainable.

📜𝗖𝗮𝘀𝗲 𝗗𝗲𝘁𝗮𝗶𝗹𝘀: 𝗧𝗶𝘁𝗹𝗲: Ramaben Parmar vs. C.S.T.-Service Tax – Ahmedabad 𝗢𝗿𝗱𝗲𝗿 𝗗𝗮𝘁𝗲: 01 March 2023 📜This ruling underscores the importance of differentiating between manufacturing activities and service provisions, while also highlighting the correct application of exemption thresholds.