https://www.taxtmi.com/caselaws?id=76735 Service tax demand could not be sustained merely from discrepancies between ST-3 returns, the balance sheet, and bank ledgers without proving that the receipts related to taxable services. The adjudicating authority had relied on income figures and book entries, but the reconciliation was found incomplete because it did not properly account for service tax in debtors and creditors, bad debts, or credit notes. The assessee offered explanations for the differences, and the department failed to rebut them with evidence. On that basis, the demand based on assumptions and presumptions could not be upheld. en-us Fri, 23 Apr 2010 00:00:00 +0530 Thu, 22 Dec 2011 17:57:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=76735 Service tax demand could not be sustained merely from discrepancies between ST-3 returns, the balance sheet, and bank ledgers without proving that the receipts related to taxable services. The adjudicating authority had relied on income figures and book entries, but the reconciliation was found incomplete because it did not properly account for service tax in debtors and creditors, bad debts, or credit notes. The assessee offered explanations for the differences, and the department failed to rebut them with evidence. On that basis, the demand based on assumptions and presumptions could not be upheld. Case-Laws Service Tax Fri, 23 Apr 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=76735