Mec Shot Blasting Equipment P Ltd. Vs Commissioner of Central Goods And Service Tax (CESTAT Delhi)
CESTAT Delhi held that mere suppression of facts not enough, for invocation of extended period of limitation, there must be deliberate and wilful attempt to evade payment of duty. Thus, held that invocation of limitation period unjustified in absence of wilful attempt to evade payment of duty.
Facts- The appellant is engaged in manufacturing of excisable goods falling under chapter 84 and are availing Cenvat credit of duty and tax paid on inputs and input services and are also registered u/s. 69 of the Finance Act, 1994 for discharging their service tax liability.
Following the audit of the records of the appellant, the department issued a show cause notice dated 20.01.2016 stating that as the appellant had remitted a sum of Rs. 37,69,247/- for import of various taxable services during the period from 01.04.2011 to 31.03.2014, the appellant was liable to deposit service tax of Rs. 4,49,046/- by reverse charge mechanism on such payment as per Section 66A of the Finance Act, 1994.
Vide Order-in-Original, the demand of service tax of Rs. 4,49,046/- with interest u/s. 75 of the Finance Act, 1994 was confirmed and penalty of Rs. 4,49,046/- was imposed u/s. 78. Commissioner (Appeals) rejected the appeal. Being aggrieved, the present appeal is filed.
