Dismissal of writ petition allows statutory appeal with pre-deposit to CESTAT, disregarding limitation period.

The writ petition was dismissed, allowing the petitioner to file a statutory appeal before the CESTAT within thirty days, with a pre-deposit requirement of 7.5% of the disputed tax amount. The CESTAT was directed to consider the appeal without regard to the limitation period and decide on its merits. No costs were awarded, and the related Writ Miscellaneous Petition was closed.

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Issues Involved:
The judgment involves the computation of service tax payable by the Assessee based on income reflected in bank account statements, taxability and valuation of services provided on a joint development basis, incorrect payment of service tax on flats sold to specific service receivers, non-payment of service tax on other income, and non-payment of interest for delayed tax payment.

Computation of Service Tax Payable:
The respondent confirmed a total tax liability of Rs.2,78,45,879, including various components such as computation of service tax based on income reflected in bank account statements, taxability and valuation of services provided on a joint development basis, incorrect payment of service tax on specific flats, non-payment of service tax on other income, and non-payment of interest for delayed tax payment.

Petitioner's Submission and Reconciliation:
The petitioner submitted voluminous records to challenge the impugned order, claiming it should be set aside. The petitioner's chartered accountant provided a statement of reconciliation and filed ST-3 Returns for specific assessment years. However, subsequent details provided by the petitioner were deemed unsatisfactory by the respondent.

Legal Proceedings and Disputed Facts:
Following summons and requests for details, a Show Cause Notice was issued, leading to the impugned Order-in-Original. The petitioner's writ petition raised several disputed questions of fact, supported by 22 volumes of documents related to accounts and bank statements. The court determined that these disputed questions could not be resolved in writ proceedings.

Statutory Appeal and Dismissal:
The court noted that the petitioner should have filed a statutory appeal before the CESTAT within a stipulated period under the Finance Act, 1994. However, as the appeal period had lapsed, the court dismissed the writ petition but granted the petitioner liberty to file a statutory appeal before the CESTAT within thirty days. The petitioner was also required to pre-deposit 7.5% of the disputed tax amount along with the appeal for CESTAT's consideration.

Conclusion:
The writ petition was dismissed with liberty granted to file a statutory appeal before the CESTAT within a specified period and pre-deposit requirement. The CESTAT was instructed to entertain the appeal without considering the limitation aspect and to decide the appeal on its merits. No costs were awarded, and the connected Writ Miscellaneous Petition was closed.

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