Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... the appellants availed benefit of notification no.49-50/2003 dated 10/6/2003 as amended by notification no.76/2003-ce dated 5.11.2003. ..... he submitted that the machines in question were financed from the punjab national bank. ..... above investigation undertaken by the department exposing fraudulent act of m/s.swati storewell and their partner of shri ramesh gupta who have organized procurement of fake invoices to purchase of machines which were never supplied. ..... wherein the commissioner (appeals) dropped the demand allowing the appeals of the respondents-assessee, setting aside the order of adjudicating authority confirming demand of rs.16,39,289/- also equal amount of penalty under section 11ac and also personal penalty of rs.15 lakh imposed on shri ramesh gupta under rule 26 of central excise rules, 2002 read with section 11ac. 2. ..... out that fake transaction had been undertaken with the sole motive of showing procurement of machines and subsequently to show 25% expansion of existing capacity which was requirement of for eligibility for availment of exemption under notification no..49-50/03 as amended. ..... sprinkler and drip irrigation systems falling under chapter 39 and 84 respectively of the first schedule to the central excise tariff act, 1985. 3. .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... joint commissioner, central excise, allahabad confirming service tax of rs.10,42,626/-; late fee of rs.2000/-; penalty of rs.5000/- under section 77; and penalty of an amount equivalent to service tax, under section 78 of the finance act, 1994, the appellant has preferred an appeal to the commissioner (appeals), customs, central excise and service tax, allahabad on 9.4.2012. 2. .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... 8.4.thus the export of service rules, 2005 and taxation of service (provided from outside india and received in india) rules, 2006, readwith section 66a of the finance act, 1994 are fully in accordance with the law laid down by the apex court in case of all india federation of tax practitioners (supra) and association of leasing and financial service companies (supra) that service ..... the learned counsels for the appellant, pleaded that the service in relation to procurement of goods being provided by the appellant is business auxiliary service covered by section 65 (105) (zzb) readwith section 65 (19) of the finance act, 1994, that this service is being provided by the appellant to m/s gap, u.s.a. ..... cess for the period from 19/4/06 to 31/5/07 and also the interest thereon under section 75 of the finance act, 1994 and beside this, imposed penalty of rs. ..... being provided by the appellant to their principal are the services in relation to procurement of the goods and there is no dispute that these services are business auxiliary services covered by section 65 (105) (zzb) readwith section 65 (19) of the finance act, 1994. ..... 6/2010-st dated 27/2/10, rule 3 (2) of the export of service rules, 2005 has been amended and clause (a) of rule 3 (2) regarding use of the service being outside india has been deleted, during the period prior to 27/2/10, the condition of use outside india also needs to be satisfied for availing the ..... amendments, therefore, have to be treated as clarificatory amendments .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... proceedings were initiated by a show cause notice dated 23.10.2009 clearly attributing/alleging that the appellant, a housing finance company and a subsidiary of the bank of baroda had provided business auxiliary service, a taxable service defined in section 65(19) of the finance act 1994 (the act); had received consideration from its customers towards fee for permitting pre-closure of loans; had failed to disclose the consideration so received in its st-3 returns; failed to ..... finance act, 2004 clause (viii) was introduced in section 65(12) of the act ..... of service must be treated as conclusive of the classification of the activity; that the appellate authority agrees with the findings of the primary authority that after the introduction of self assessment system under the act, the responsibility of classification is on the assessee; and that whether it be business auxiliary service or banking and other financial services, since both were in operation during the material time and the rate ..... in paragraph (5) of the show cause notice, it is stated that the appellant is registered with the national housing bank to carry on the business of housing finance; that the national housing bank is remitting service tax on pre-payment charges collected from the appellant; and that the appellant is availing cenvat credit on the service tax ..... its customers by way of facilitating fore-closure of loans clearly falls outside the ambit of business auxiliary service defined in section 65(19) of the act. .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... was no doubt about the appellants activity having become taxable, in order to escape from the penal provisions of section 76, 77 and 78, the appellant in terms of the provisions of section 80 of the finance act, 1994 have to prove that there were bonafide reasons for their failure to comply with the provisions of the law ..... or the rules made thereunder with intent to evade the duty and for the same reason, penalty under section 78 of the finance act, 1994 would not be attracted, that in this regard mere failure to take registration or non-filing of return or non-payment of service tax cannot be treated as the basis for concluding deliberate withholding of information ..... day or 2% of the tax amount not paid, whichever is higher, since 19/4/06 under section 76 of the finance act, 1994 till the date of payment of the service tax, subject to the maximum ..... taxable and at least from 01/6/07 there could not be any doubt about the taxability of the appellants activity, that in view of this, the extended limitation period under proviso to section 73 (1) has been correctly invoked and penalty under section 76 and 78 of the finance act, 1994 has been correctly imposed. ..... a view that the activity of the appellant was taxable as cargo handling service under section 65 (105) (zr) of the finance act, 1994 till 15/06/05 and thereafter from 16/06/05 to 31/05/07 their activity was taxable as site formation and clearance, excavation and earth moving service under section 65 (105) (zzza) ibid and w.e.f. .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... it is seen that section 38a of the act was introduced in the year 2001 and as per the notes on clauses relating to finance bill 2001, this section was inserted with retrospective effect (from 1944 onwards) on account of some judicial pronouncements where it was held that section 6 of the general clauses act is not applicable in respect of subordinate legislation. ..... the adjudicating authority in the impugned order has referred to section 38a of the act and has held that the provisions of rule 230 would continue to be applicable / effective in view of the aforesaid section 38a and therefore the dues can be recovered from the appellants. ..... section 6 of the general clauses act is a savings clause relating to the repeal of any central act and it is seen that the provisions of section 38a of the act introduced in 2001, with retrospective effect is similar to the above section 5. ..... from the present appellants in terms of the provisions of the erstwhile rule 230 of the central excise rules or under the proviso to section 11 of the act, which came into force in 2004. ..... 1.07.01) and a new provision on similar lines has been introduced by way of proviso to section 11 of the act only in 2004. ..... therefore in my opinion this section could not applied in the present case when no action could have been taken on the appellants prior to the omission of rule 230, because the present appellants had purchased the factory of m/s. .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... infirmity in the impugned order, we do not intend to proceed on an independent analyses of the transactions in issue, to consider whether these transactions authorize levy of service tax under the relevant taxable categories qua the relevant provisions of the finance act, 1994; despite invitation by revenue to undertake an independent analysis of the transactions and relevant provisions of the ..... board circular dated 19.04.2006; that this circular is not relevant since the disputed period is october 2008 to march 2009, earlier to the circular and provisions of the 2005 rules were also different and were amended w.e.f. ..... the appellant company is a registrant under the act, for providing the taxable business auxiliary service (bas); management, maintenance or repair service (mmr)l and erection commissioning or installation service (ecis). .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... commissioner vide order-in-original dated 1.10.2008 by which the above mentioned service tax demand was confirmed along with interest and besides this, while penalty of rs.65,00,000/- was imposed on the appellant under section 76 and 78 of the finance act, 1994 for non-payment of service tax and for suppressing the value of the taxable service from the department, a penalty of rs.5,000/- was imposed under section 77 of the finance act, 1994 for non-submission of the st-3 returns. ..... issued to the appellant for demand of allegedly non-paid service tax amounting to rs.63,22,985/- for the period from 10.09.2004 to 30.11.2007 along with interest thereon and also for imposition of penalty on the appellant under section 76, 77 and 78 of the finance act, 1994. ..... she also pleaded that in respect of the period prior to 18.04.2006, notwithstanding the fact that section 66a was not there, service tax could be demanded from the appellant as service recipient in terms of the provisions of rule 2(1)(d)(iv) of the service tax rules, 1994. ..... 18.04.2006 by inserting section 66a and during the period prior to 18.04.2006 notwithstanding the provisions of rule 2(1)(d)(iv) of the service tax rules, service tax on the services could not be charged from the service recipient in india in respect of the taxable .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... service tax was deposited on receipt of payment in terms of section 67 of the finance act, 1994 (hereinafter referred to as the act) and was reflected in the st 3 returns filed. ..... for the findings of the adjudicating authority that the refund claim is legally not sustainable, reliance is placed on the guidance notes dated 20.06.2012 clarifying the provisions of the finance act, 2012 wherein question was raised whether deposits returned on cancellation of an agreement to provide a service, will be considered for service. .....
Tag this Judgment!Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Principal Bench New Delhi
..... , while the show cause notice was issued only on 31.3.2007 by invoking the extended period, that the extended period under proviso to section 73(1) of the finance act is not invokable inasmuch as in view of the conflicting judgments on the issue involved in this case , it cannot be alleged that the appellant had deliberately contravened the provisions of finance act, 1994 and the rules made thereunder with an intent to evade service tax and in this regard he relies upon the judgments ..... the appellant did not show the value of the reimbursement in thest-3 returns, they have suppressed the relevant facts from the department and hence, longer limitation period has been correctly invoked under section 73(1) for demand of service tax and penalty under section 78 of the finance act, 1994 has been correctly imposed. ..... (supra), neither longer period for demand of short paid service tax can be invoked nor penalty under section 78 of the finance act would be imposable. ..... besides this, he also demanded interest on the service tax demand and also imposed penalty of equal amount on the appellant under section 78 of the finance act, 1994. ..... he, therefore, pleaded that bulk of duty demand is time barred and for the same reason, penalty under section 78 would not be imposable. ..... however, imposition of penalty on the appellant under section 78 is set aside. .....
Tag this Judgment!