2012 (12) TMI 792

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....: B S V Murthy: 1. The Appellants are engaged in providing Port services. Proceedings were initiated against the appellants on the ground that they are liable to pay Service Tax on commercial charges paid by them for availing External Commercial Borrowings (ECB) under "Banking and Other Financial Services" during the period from 2005-06 to June, 2010. After submitting the details to the departmen....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ax and, therefore, extended period could not have been invoked and since show-cause notice has been issued on 18/3/2011 the demand itself is time barred. Nonetheless they are not disputing the liability. He relied upon the decision of the Tribunal in the case of ESSAR STEELS LTD. 2009(13)S.T.R. 579 (Tri. - Ahmd.) to submit that in such a situation, no penalty is imposable. The Ld. Advocate also su....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....isited with penalties. 5. We have considered the submissions made by both sides. No doubt, there is no dispute that the appellants were eligible for CENVAT credit for the amount paid as Service Tax and, therefore, this is a situation which was revenue neutral and by not paying the Service Tax immediately, appellants have lost more than Rs.26,00,000/- paid by them as interest which would not have ....