Case Law Details
N.E. Logistics And Anr. Vs Union of India And 2 Ors. (Guwahati High Court)
The liability to pay a service tax is not upon a presumption nor can it be based upon a state of indeterminateness on the part of the authorities. The liability to pay a tax has to be conclusively determined that for the given transaction for which the tax is imposed the noticee is liable to pay such tax and such taxes are not being paid.
As the said determination had not been made, we remand the matter back to the Principal Commissioner, CGST, Guwahati for a fresh determination. In doing so, the petitioners be given an appropriate opportunity to produce any relevant material to show that the contract works for which the service tax has been imposed, the noticee is not liable to pay tax for such transaction and in doing so, the petitioners to also co-operate with the authorities so that they also can come to a conclusion on the aspect and produce any relevant material as may be desired.
After making a conclusive determination, any reasoned order or any further demand notice as may be called for may be issued by the authorities. On the other hand, if the conclusion arrived at that the petitioner is not liable to pay service tax, appropriate reasoned order be also passed. In order to substantiate the claim of the petitioners assessee that they are not liable to pay the service tax, any other ground or reason as may be desirable be also allowed to be raised by the petitioners.
FULL TEXT OF THE JUDGMENT/ORDER OF GAUHATI HIGH COURT
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