Panasonic AVC Networks India Co. Ltd. Vs Commissioner of Central Excise & CGST (CESTAT Allahabad)
CESTAT Sets Aside Service Tax Demand Because R&D Cess Exemption Was Properly Supported by Documents; Extended Limitation Not Invokable Because Department Was Already Aware of R&D Cess Claims; CESTAT Allows R&D Cess Exemption Because Service Tax Figures in Returns Were Only Provisional; Service Tax Demand Quashed Because No Evasion or Suppression Was Established.
In , the appeals were filed before the Customs, Excise and Service Tax Appellate Tribunal challenging Order-in-Appeal dated 12.02.2021 passed by the Commissioner (Appeals), CGST, Noida.
The appellant was engaged in manufacturing colour television sets under the PANASONIC brand from 2011 to June 2017 and was registered with the Central Excise Department. The appellant stated that it regularly paid service tax. Three show cause notices were adjudicated through an order dated 31.08.2018, while a fourth show cause notice was adjudicated through an order dated 18.05.2020, leading to the filing of two appeals before the Tribunal.
The adjudicating authority framed issues relating to whether the appellant had rightly availed exemption under Notification No.17/2004-ST as amended by Notification No.47/2011-ST and Notification No.14/2012-ST in relation to taxable services involving import of technology. The authority also examined whether exempted service tax was recoverable under Section 73(1) of the Finance Act, 1994, whether interest was payable under Section 75, and whether penalty was imposable under Section 78.
