Tribunal grants delay due to medical reasons, orders Rs.15,00,000 pre-deposit The Tribunal allowed the condonation of delay application due to medical reasons and directed the appellant to make a pre-deposit of Rs.15,00,000 against ...
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Tribunal grants delay due to medical reasons, orders Rs.15,00,000 pre-deposit
The Tribunal allowed the condonation of delay application due to medical reasons and directed the appellant to make a pre-deposit of Rs.15,00,000 against their tax and penal liabilities within a specified timeframe. Compliance with this directive would result in waiver and stay for the remaining dues.
Issues: 1. Condonation of delay in filing the appeal due to medical reasons 2. Liability to pay service tax under commercial or industrial construction service
---
Issue 1: Condonation of delay in filing the appeal due to medical reasons
The appellant sought condonation of a 46-day delay in filing their appeal, citing medical reasons. The delay was attributed to the appellant's health conditions, specifically diabetes and hypertension, which required rest for observation and monitoring as per a doctor's advice. The medical certificate and prescription for medicines were submitted as evidence. The Additional Commissioner raised objections regarding the medical certificate, but the Tribunal accepted the medical ground for the delay. Consequently, the condonation of delay application was allowed.
---
Issue 2: Liability to pay service tax under commercial or industrial construction service
The appellant contended that the activity undertaken by them constituted a works contract, not commercial or industrial construction service, and thus, they were not liable to pay service tax under the latter category for the period before 1.6.2007. The appellant acknowledged a tax liability of Rs.10.5 lakhs from 1.6.2007 onwards and offered to pre-deposit this amount with interest. However, the Additional Commissioner argued that the entire adjudged dues, including Rs.27,47,027 demanded, should be pre-deposited as the appellant provided industrial/commercial construction service throughout the dispute period. The Tribunal held that the appellant should make a reasonable pre-deposit of Rs.15,00,000 against both tax and penal liability within six weeks. Compliance was to be reported to the Deputy Registrar by a specified date, with waiver and stay granted for the remaining dues upon due compliance.
---
In conclusion, the Tribunal allowed the condonation of delay application due to medical reasons and directed the appellant to make a pre-deposit of Rs.15,00,000 against their tax and penal liabilities within a specified timeframe. Compliance with this directive would result in waiver and stay for the remaining dues.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
