DR. D.Y. CHANDRACHUD, J.

1. The Finance Act 1994 was amended by the Finance Act 2010 to introduce an explanation to Section 65(105)(zzq) and Section 65(105) (zzzh). Besides a new provision was introduced in the form of clause (zzzzu) in Section 65(105). In these proceedings there is a challenge to the constitutional validity of those provisions.

2. Service tax as an economic concept is a value added tax. Parliament legislated in the Finance Act of 1994 to impose a service on taxable services. Section 65 provides for a list of taxable services in clause (105). Section 66 provides for the levy of a tax on the value of taxable services. Section 67 stipulates that the value of any taxable service shall be the gross amount charged by a service provider of such service provided or to be provided by him. Under subsection (1) of Section 68 the obligation to pay service tax is cast on every person providing a taxable service.

3. In the Finance Act of 2004 clause (zzq) was introduced in Section 65(105) in order to bring within the fold of the expression taxable service any service provided or to be provided to any person, by a commercial concern, in relation to construction service.