Service tax pre-deposit waiver granted where recipient liability issue was already pending before a Larger Bench.

Waiver of pre-deposit in a service tax appeal was considered appropriate where the disputed liability depended on whether the recipient of specified services was liable to tax for the relevant period, an issue already pending before a Larger Bench. The extent of the disputed period also supported dispensing with the deposit at that stage. Pre-deposit was therefore waived.

---

---

Issues: Whether waiver of pre-deposit was justified in a service tax appeal where the liability for the disputed period was linked to a question pending before a Larger Bench.

Analysis: The disputed demand related to service tax and penalties for a substantial part of the period under appeal. The appellant's liability depended on the status of the taxable service and on the issue whether the recipient of the specified services was liable to service tax for the relevant period, a question already referred to a Larger Bench. In view of the pendency of that issue and the extent of the period in dispute, the pre-deposit requirement was considered unnecessary at that stage.

Conclusion: Waiver of pre-deposit was granted.

---