Post service tax valuation rules, the said rules provides for inclusion of free material supplied by service recipients and has been directing the assessee in other cases to deposit some amount of the Service Tex liability for the period post service Tax valuation rules as a condition to hear and dispose the appeal.
Undisputedly the appellant had received input services viz. GTA and Business Auxiliary Service and used the same in or in relation to the manufacture and trading of Electric Meters. It is also not in dispute that credit of Rs. 3,41,397/- availed by the appellant on the said input services were not exclusively used in or in relation to the manufacture of Electricity Meters, but also used for trading purposes.
This argument of the ld. advocate is prima facie untenable as the appellants are recovering charges incurred for maintenance of the common areas from the individual shop owners. Ld. advocate himself states that the maintenance is done through service contractors who are providing the maintenance service and are also paying service tax.
As regards the financial difficulty, I have gone through the Income Tax return for the year 2010-2011 and I find that acceding to the Income Tax return, the appellant had invested in equity shares amounting to more than Rs. 4.7 lakhs. In view of the fact that the demand of Service Tax is of Rs. 2.31 lakhs, it cannot be said that the appellant is in such a financial position that he cannot pay this amount.
Whatever was submitted to the department was rebate claim under Notification No.21/2004 after the refund claim was rejected. The rebate claim has been correctly rejected on the ground that the procedure as set out under Notification No.21/2004 has not been followed.
This Stay Petition is been filed for waiver of pre-deposit of amounts of Service Tax confirmed by the adjudicating authority and upheld by first appellate authority. The Service Tax has been confirmed by adjudicating authority and upheld by first appellate authority, on the ground that the appellant are liable to discharge Service Tax liability on NSE/BSE transaction charges and SEBI turnover fees.
Service Tax dispute: S.S. Construction vs Commissioner of Central Excise. Remanded for reconsideration. Balance-sheet vs ST-3 Returns. Get details on TaxGuru.in.
As submitted by the learned counsel in respect of FOB exports, the place of removal has to be treated as the Port. Further input service definition is an inclusive definition of services used by the manufacturer directly or indirectly in or in relation to manufacture and clearance and also relating to business activities and specified categories would be admissible.
The modus operandi of the appellants, which we have briefly stated herein before, is crystal clear. They were not purchasing and selling immovable properties. They were only holding ‘General Power of Attorney’ of the property owners and, in that capacity, selling the property to M/s Sahara India .
Learned CA submits that the maintenance of DG sets is essentially and integrally connected to rendering the business and no export of service can take place if there is no uninterrupted power supply and, therefore, the said services should be treated as ‘input services’. We are prima facie, in agreement with views expressed by learned CA that the impugned services could be treated as ‘input services’ in respect of services rendered by the appellant.
