2009 (4) TMI 153 - AT - Service Tax

CESTAT grants waiver in Maruthi Taxi Services case, remands for reconsideration.

The Appellate Tribunal CESTAT, Bangalore granted the waiver of pre-deposit amounts in the case involving M/s. Maruthi Taxi Services contesting service tax ... Rent a cab scheme – section 65(90) - The issue is regarding the demand for services rendered by the appellants as Rent-a-Cab Scheme operator. It is alleged in the show-cause notice that the appellants have rendered rent-a-cab service to their clients for the period 2001-02 to 2005-06 and were liable to pay the service tax on the same – held that - the Commissioner (Appeals) has not given any reasoning or findings for coming to the conclusion that the Order-in-Original No.29/2007 (HSN), dated 31-12-2007 is required to be upheld – matter remanded. The Appellate Tribunal CESTAT, Bangalore issued an order in response to a stay petition filed by an applicant contesting the waiver of pre-deposit amounts related to service tax, interest, and penalties. Despite the absence of the applicant, the tribunal proceeded with the case and decided to grant the waiver, allowing for the appeal to be disposed of. The case involved M/s. Maruthi Taxi Services appealing against a demand for service tax as a Rent-a-Cab Scheme operator. The Commissioner (Appeals) upheld the original order without providing detailed reasoning, leading the tribunal to set aside the decision and remand the case for reconsideration with proper justification and adherence to the Principles of Natural Justice. The stay petition and appeal were consequently disposed of accordingly.