Monetary threshold for Tribunal appeals bars admission where disputed tax and penalty stay below the prescribed limit.

The monetary threshold under the proviso to Section 35B(1) of the Central Excise Act, as applied through Section 83 of the Finance Act, 1994, permits the Tribunal to refuse admission of an appeal where the amount involved does not exceed the prescribed limit. On the figures stated in the appeal memo, the disputed service tax and penalty were each Rs. 60,676/-, keeping the total amount in dispute below Rs. 2 lakhs. The appeal was therefore not maintainable before the Tribunal.

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Issues: Whether the appeal was maintainable before the Tribunal when the total amount of service tax and penalty in dispute was less than Rs. 2 lakhs.

Analysis: The monetary limit prescribed by the proviso to Section 35B(1) of the Central Excise Act, as made applicable by Section 83 of the Finance Act, 1994, permits the Tribunal to refuse admission where the amount involved does not exceed the stipulated threshold. On the figures stated in the appeal memo, the disputed service tax and penalty were each Rs. 60,676/-, taking the total amount involved below Rs. 2 lakhs.

Conclusion: The appeal was held to be not maintainable before the Tribunal.

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