CANCELLATION OF SERVICE TAX REGISTRATION CERTIFICATE

                Rule 4 of Service Tax Rules, 2004 provides for registration procedure.  Rule 14(1) provides that the every person liable to pay service tax shall make an application for registration within a period of thirty days from the date on which the service tax is levied.  Where a person commences the business of providing a taxable service after such service has been levied, he shall make an application for registration within a period of thirty days from the date of such commencement. 

Where a person liable for paying service tax on taxable service-

§       provides such service from more than one premises or offices; or

§       receives such service in more than one premises or offices; or

§       is having more than one premises or offices, which are engaged in relation to such service in any other manner,                  making such person liable for paying service tax, and has centralized billing system or centralized accounting system in respect of such service, and such centralized billing or centralized accounting systems are located in one or more premises, he may at his option register such premises or offices from where centralized billing or centralized accounting systems are located.

                            The Superintendent of Central Excise shall after the verification of the application form grant a certificate of registration within seven days from the date of receipt of the application. If the certificate of registration is not granted within the said period, the registration applied shall be deemed to have been granted.

                            Where there is a change in any information or details furnished by an assessee in the application form at the time of obtaining registration or he intends to furnish any additional information or detail, such change or information or details shall be intimated in writing, by the assessee to the jurisdictional Assistant Commissioner or Deputy Commissioner of Central Excise, as the case may be, within a period of thirty days of such change.

                            Where a registered assessee transfers his business to another person, the transferee shall obtain a fresh certificate of registration. Every registered assessee who ceases to provide the taxable service, for which he is registered, shall surrender his registration certificate immediately to the Superintendent of Central Excise. On receipt of the certificate, the Superintendent of Central Excise shall ensure that the assessee has paid all monies due to the Central Government under the provisions of the Act and the rules and the notifications issued there under and thereupon cancel the registration certificate.

                            The Delhi CESTAT Tribunal in 'Shreyance Advertisers V. Commissioner of Central Excise, Raipur' - 2009 -TMI - 34249 - (CESTAT, NEW DELHI) held that hearing is necessary before cancellation of registration certificate.  

                            In the above said case the appellant made an application to the Jurisdictional Authorities on15.11.06 stating that the appellant is not liable to pay service tax under the category of advertising services for which the registration taken earlier can be cancelled. This prayer was not considered by a speaking order. The Superintendent held that the services provided by the appellant shall be covered by the Advertising Agency. On appeal by the appellant before the Commissioner (Appeals), the Commissioner (Appeals) dismissed the appeal on the ground that the appellant had not furnished the Original Registration Certificate while making the application for cancellation of the registration. The Commissioner (Appeals) further directed that the registration certificate should be filed before the Superintendent for cancellation along with the submissions made in the appeal before him to justify the cancellation of the said Registration. 

                            The appellant filed this appeal before Tribunal against the order of the Commissioner (Appeals). The Tribunal after hearing both parties held that the appellate authority has not passed a rational order while dismissing the appeal.  It further held that the appellant deserves a fair hearing before cancellation of the Registration Certificate.

                            The Tribunal remanded the matter back to the Commissioner (Appeals) to hear the appellant afresh and considering the submissions and pleadings as well as the law related to the matter and to dispose the appeal in accordance with the awl.