Case Law Details
SRM Institute of Hotel Management Vs Commissioner of GST & Central Excise (CESTAT Chennai)
CESTAT Chennai held that the fees collected for the course approved by the Industries Department is not leviable to service tax under Commercial Training and Coaching Services. Accordingly, matter remanded back to for denovo consideration.
Facts- The appellant M/s. SRM Institute of Hotel Management and Catering Technology is engaged in conduct of training courses in the field of Hotel and Catering Management and are awarding certificates to the trainees on completion of said courses. The degree/diploma course for Hotel and Catering Management conducted by the appellant is not a course recognised by any statutory authority and the same does not lead to award of any diploma or degree recognised by the Government.
As the courses imparted by the appellant are neither approved by any statutory authority, nor affiliated to any university, it appeared that the appellant is providing Commercial Training and Coaching Services. They had not discharged the service tax on the income received from such services during the period from April 2008 to March 2012.Show Cause Notice was issued invoking the extended period proposing to demand Service Tax along with interest and also to impose penalty. After due process of law, the original authority confirmed the demand along with interest and also imposed penalties. Aggrieved by such order, the appellant is now before the Tribunal.
Conclusion- We are not able to understand whether separate fees are collected from students for this course. The order is not clear as to the details of demand in regard to this course. The appellant has not been able to show as to what portion of the demand is covered by the fees collected for the course approved by the Industries Department. We find that this issue also requires to be remanded.
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