2010 (5) TMI 485

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....onducted at the premises of M/s. Sterling Dyechem Corporation, Thane and during the course of audit and verification of records, it was noticed that the said assessee was receiving the services from the appellants. On the basis of the said observations, the department called for certain documents/records like income-tax return during the years 2003-04 to 2006-07 vide letters dated 12-9-2007 and 5-....

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....869 during the period from 2003-04 to 2006-07, the details of which have been shown in the impugned order. Looking to the income of the appellants as per returns of Income-tax filed, which was more, than specific limit of Rs. 4 lakhs in each financial year the appellants were not eligible for exemption as per Notification No. 06/2005-ST, dated 1-3-2005. 2. The original adjudicating authority, a....

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....e to pay service tax on the basis of receipt of commission or billing of commission account, (ii) whether they are liable for service tax on rate difference credit not received by them from their supplier of goods under the category of Business Auxiliary Service and (iii) whether they were liable for service tax on turnover bonus received by them, which forms part and parcel of their trading activ....

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.... service liable for service tax i.e., rate difference on direct sale, which relate to trading business and which arise due to price fluctuation. 4. He submitted that if the calculations were to be correctly made and if the proper procedure of calculation of service tax on the basis receipt of consideration was applied, the duty demand would come down to around Rs. 39,000 which they have already....