https://www.taxtmi.com/highlights?id=96203 Service tax demand was challenged on the ground that the Show Cause Notice issued solely on the basis of CBDT/Income Tax data lacked independent verification and breached principles of natural justice; consequently the demand was set aside. The failure to undertake mandatory pre-Show Cause Notice consultation for demands exceeding the prescribed threshold was held to render the notice legally unsustainable, resulting in quashing of demand. Because the substantive demand failed, interest, penalty and late fees linked to the alleged service tax liability were also held not leviable and were set aside. en-us Wed, 21 Jan 2026 08:41:28 +0530 Wed, 21 Jan 2026 08:41:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=96203 Service tax demand was challenged on the ground that the Show Cause Notice issued solely on the basis of CBDT/Income Tax data lacked independent verification and breached principles of natural justice; consequently the demand was set aside. The failure to undertake mandatory pre-Show Cause Notice consultation for demands exceeding the prescribed threshold was held to render the notice legally unsustainable, resulting in quashing of demand. Because the substantive demand failed, interest, penalty and late fees linked to the alleged service tax liability were also held not leviable and were set aside. Highlights Service Tax Wed, 21 Jan 2026 08:41:28 +0530 https://www.taxtmi.com/highlights?id=96203