https://www.taxtmi.com/caselaws?id=448762 A service tax demand cannot be sustained merely because Income Tax returns and ST-3 returns show a mismatch. The Tribunal upheld the setting aside of the demand because the show cause notice and computation were defective: figures from different financial years were mixed, incorrect ST-3 values were used, and a single rate was applied to amounts attracting different rates. It was held that the revenue must first establish from the record that the differential amount is consideration for taxable services and is chargeable under the Finance Act, 1994 before invoking recovery provisions. en-us Thu, 25 Jan 2024 00:00:00 +0530 Tue, 22 Oct 2024 13:26:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=448762 A service tax demand cannot be sustained merely because Income Tax returns and ST-3 returns show a mismatch. The Tribunal upheld the setting aside of the demand because the show cause notice and computation were defective: figures from different financial years were mixed, incorrect ST-3 values were used, and a single rate was applied to amounts attracting different rates. It was held that the revenue must first establish from the record that the differential amount is consideration for taxable services and is chargeable under the Finance Act, 1994 before invoking recovery provisions. Case-Laws Service Tax Thu, 25 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=448762