CESTAT Kolkata: No Service Tax within Same Company

The Appellate Tribunal CESTAT, Kolkata ruled in favor of the Appellants, waiving the pre-deposit requirement. The Department's attempt to levy Service Tax for activities within the same company was dismissed as no service was provided to an external party, hence no tax liability arises. The decision referenced the case law of Precot Mills Ltd. The appeal was allowed, and the challenged order was overturned.

---

---

The Appellate Tribunal CESTAT, Kolkata found in favor of the Appellants, waiving the pre-deposit requirement. The Department sought to levy Service Tax for activities within the same company, but since no service was rendered to an external party, no tax is payable. The decision was based on the case law of Precot Mills Ltd. The appeal was allowed, and the impugned order was set aside.

---