CESTAT Quashes Service Tax Demand as GTA Service Tax Was Already Paid by Transporter

Saibaba Chemicals Industries Vs Commissioner of C.E. & S.T. (CESTAT Ahmedabad) The appeal before the CESTAT Ahmedabad arose from an order confirming a Service Tax demand of Rs. 1,17,881 along with interest and penalties against a manufacturer of excisable goods for the period April 2011 to March 2015. During audit, it was noticed that the appellant had not paid Service Tax under the Reverse Charge Mechanism (RCM) on Goods Transport Agency (GTA) services received from M/s. Kaveri Transport Carriers. The Department contended that, being a partnership firm paying freight for transportation of...