ST exemption on Infrastructure projects

It is not true. Keep on charging and paying service tax.

Infrastructure projects such as construction of road, dam, airports etc have been kept out of the purview of service tax only in respect of " Construction Service". However anciliary activities such preparation of DPR, Survey, Mapmaking, Soil Testing etc. in respect  to such project has not  been granted any exemption. Even maintenance of roads come under the purview of service tax (refer Circular  No 110/4/2009-ST ). So, consultancy, solil testing and such other allied activited would definitely be covered under different taxable category.

Please ask your client to give you the basis on which he is claiming this(circular/ exemption Notification/ CBEC letter/ trade notice etc). Once he gives it please post it on this forum also stating under what category of taxable service you are registered under