2010 (8) TMI 148

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.... five foreign parties for transfer of technology and technical assistance for manufacture of products in India including technical expertise, training of personnel designs, software, test specifications and quality manuals. The assessee was issued with a show cause notice for having contravened the provisions of Finance Act, 1994 calling upon them to show cause as to why a sum of Rs. 37,96,691-00 should not be demanded as per Section 68 of the Finance Act, 1994 read with Rule 6(1) of Service Tax Rules, 1994 and secondly why penalty should not be imposed. The assessee submitted his explanation. However the Deputy Commissioner, Central Excise, Sales Tax Division, confirmed the proposals by its order dated 31-3-2003. Aggrieved by the said orde....

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....ce tax is squarely on the assessee and as he failed to pay the tax as demanded by the authority, the Tribunal is not justified in interfering with the said demand as well as the confirmation order. 5.Per contra, the learned Counsel for the assessee submitted that Section 68 of the Act casts liability on the service provider to pay tax. The Rules framed under the Act, in particular. Rule 6(1) casts liability on the receiver of the service to pay tax. The said Rule runs counter to the Section and the Supreme Court has upheld the judgment of the Bombay High Court which has struck down the said Rule. Even otherwise, he contends that if the service provider is liable to pay tax under the Act and if he has authorised the receiver of service to....