https://www.taxtmi.com/highlights?id=93522 The CESTAT allowed the appeal and set aside the impugned order in toto, holding that the Department failed to discharge the onus of proof: mere discrepancies between ST-3 returns and income tax/Form 26AS could not sustain a service-tax demand. Demands under "accommodation service" and "works contract service" (totaling the impugned amounts) were held unsustainable for want of proper fact-finding, incorrect valuation (sale of drugs mischaracterised as accommodation receipts), and absence of evidence of works-contract activity. The Tribunal also upheld entitlement to abatement and found the extended limitation unjustified; consequential interest, penalty and late fee demands were therefore set aside. Appeal allowed. en-us Sat, 25 Oct 2025 09:00:56 +0530 Sat, 25 Oct 2025 09:00:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=93522 The CESTAT allowed the appeal and set aside the impugned order in toto, holding that the Department failed to discharge the onus of proof: mere discrepancies between ST-3 returns and income tax/Form 26AS could not sustain a service-tax demand. Demands under "accommodation service" and "works contract service" (totaling the impugned amounts) were held unsustainable for want of proper fact-finding, incorrect valuation (sale of drugs mischaracterised as accommodation receipts), and absence of evidence of works-contract activity. The Tribunal also upheld entitlement to abatement and found the extended limitation unjustified; consequential interest, penalty and late fee demands were therefore set aside. Appeal allowed. Highlights Service Tax Sat, 25 Oct 2025 09:00:56 +0530 https://www.taxtmi.com/highlights?id=93522