CESTAT Chennai Upholds Service Tax Demand for Mistakenly Claimed Credits

The Appellate Tribunal CESTAT, Chennai upheld the demand for service tax paid by mistake by assessees who took credit of the tax paid. The tribunal dismissed the appeal, finding no basis for the assessees' belief that they were entitled to credit and invoking the extended period of limitation against them.

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The Appellate Tribunal CESTAT, Chennai upheld the demand for service tax paid by mistake by assessees, who took credit of the tax paid. The assessees argued that the demand is barred by limitation, but the tribunal found no basis for their belief that they were entitled to credit. The tribunal invoked the extended period of limitation against the assessees and dismissed the appeal.

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