No Service Tax on Tobacco Auction Fees Due to Statutory Nature of Levy: CESTAT Hyderabad

Regional Manager Vs Commissioner of Central Excise And Service Tax (CESTAT Hyderabad) The CESTAT Hyderabad considered appeals arising from a demand of ₹2.62 crore in service tax, along with interest and penalties, against a statutory authority engaged in auctioning tobacco. The authority conducted auctions of Virginia tobacco through designated platforms and collected fees from buyers and sellers. The Department classified these activities under “auction of property” services and raised a demand for the period 01.05.2006 to 31.03.2008. The matter had earlier been remanded for fresh adjud...