Punjab Ex-service Man Corpn. Vs. Commissioner of C. Ex. - Court Judgment

Excerpt:
1. when the case was called none appeared on behalf of the applicant in spite of notice. the applicant has already deposited rs. 7 lakhs out of the total demand of rs. 55,07,238/-. in this case the demand of service tax was confirmed on the ground that applicants were running security agency and they were collecting the charges for providing security services. the applicant pleaded in the grounds of appeal that part of demand is time-barred as no suppression can be alleged against the applicant. the applicant also pleaded that they are not liable to pay service tax on the salaries paid to the driver by the appellant during the period in question. for this they produced a certificate issued by the chartered accountant in this regard.2. keeping in view the facts and circumstances as applicant has already deposited rs. 7 lakhs at the time of hearing of the appeal by the commissioner (appeals) is sufficient for hearing of the appeal.pre-deposit of remaining amount of service tax and penalty is waived for hearing of the appeal. stay petition is allowed.

Judgment:
1. When the case was called none appeared on behalf of the applicant in spite of notice. The applicant has already deposited Rs. 7 lakhs out of the total demand of Rs. 55,07,238/-. In this case the demand of service tax was confirmed on the ground that applicants were running security agency and they were collecting the charges for providing security services. The applicant pleaded in the grounds of appeal that part of demand is time-barred as no suppression can be alleged against the applicant. The applicant also pleaded that they are not liable to pay service tax on the salaries paid to the Driver by the appellant during the period in question. For this they produced a certificate issued by the Chartered Accountant in this regard.

2. Keeping in view the facts and circumstances as applicant has already deposited Rs. 7 lakhs at the time of hearing of the appeal by the Commissioner (Appeals) is sufficient for hearing of the appeal.

Pre-deposit of remaining amount of service tax and penalty is waived for hearing of the appeal. Stay petition is allowed.