Absence of Consignment Note Exempt from GTA Service Classification: CESTAT quashes Rs.85.9L Service Tax Demand against TATA Power

The CESTAT quashed an Rs. 85.9 lakh service tax demand against Tata Power, ruling that the absence of a consignment note exempts the service from being classified as Goods Transport Agency (GTA) service. Tata Power had hired vehicles for transporting goods but did not issue consignment notes, leading to a service tax demand under the GTA category. The tribunal held that without consignment notes, the service could not be classified as GTA, and thus, the tax demand was invalid. This ruling highlights the significance of consignment notes in determining the applicability of service tax under the GTA category and provides clarity on the classification of transportation services.