BPL Telecom Pvt. Ltd. Vs Commissioner of GST & Central Excise (CESTAT Chennai)
The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Chennai, considered an appeal challenging the rejection of a declaration filed under the Service Tax Voluntary Compliance Encouragement Scheme, 2013 (VCES). The appellant had filed a VCES declaration on 5 July 2013, declaring service tax dues of ₹20,53,344 for the period from December 2010 to December 2012. The Department rejected the declaration on the grounds that an earlier show cause notice and order existed on the same issue for an earlier period and that an inquiry or investigation was pending as on 1 March 2013. The rejection was upheld by the appellate authority, leading to the present appeal.
The appellant argued that Section 106(1) of the Finance Act, 2013 was inapplicable because no notice or order under Sections 72, 73 or 73A had been issued for the relevant period. It further contended that the conditions under Section 106(2)(a) were not met because neither a search under Section 82 nor summons under Section 14 of the Central Excise Act had been issued. The appellant also pointed out that the Department sought documents only through a letter dated 4 June 2013, which was after 1 March 2013. Additionally, it argued that the show cause notice proposing rejection of the declaration was issued beyond the prescribed 30-day period under CBEC Circular No. 174/9/2013-ST dated 25 November 2013, rendering the notice and subsequent rejection invalid.
