Case Law Details
Commissioner Vs National Remote Sensing Agency (Telangana High Court)
the only issue which this Court is now required to consider is as to whether the respondent-NRSA had any intent to evade service tax on its activities during the period 16.07.2001 to 31.03.2005 and on advances received during the period 16.06.2005 to 31.12.2005, justifying the action of the appellant-Revenue invoking the extended period of limitation for demanding of service tax, as contended. From the Order-in Original, it is evident that the respondent had applied and obtained registration under various categories of services as guided by the authorities of the appellant-Revenue. It is also evident that the authorities, who informed the respondent that its activities would get covered by photography service, scientific or technical constancy service and commercial training and coaching service etc., are guided by Revenue considerations alone and they have not kept in mind the nature of activity undertaken by the respondent NRSA and area of operation of its activities, apart from the important role it plays in the affairs of this nation.
The appellant-Revenue authorities initially directed the respondent-NRSA to obtain registration under the above three categories which was duly adhered to by obtaining registration on 14.02.2005. Upon obtaining registration, the appellant-Revenue saddled the respondent-NRSA with the show cause notice for the period prior to registration by invoking the provisions of Section 73(1)(a) of the Finance Act. To justify the action of invocation of extended period of limitation, it has been stated that since, the respondent has been rendering taxable service and failed to observe statutory provisions for registration and payment of service tax, there was suppression of material facts.
The Tribunal while considering the above said aspect had observed as under:
“we find that the assessee in this case is an autonomous organization under the Department of Space, Government of India. It is not a private business entity.”
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