2014 (2) TMI 622

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....al). By the impugned order dated 21 October 2013, the appellant was directed to make pre-deposit of 50% of the confirmed Service Tax demand of Rs.5,34,65,194/- (without interest and penalty) for the purpose of entertaining its appeal on merits from the order in original dated 25 February 2013 of the Commissioner of Service Tax. 3. Although the appellant has raised several questions of law, the basic dispute relates to the liability of the appellant to pay Service Tax under the head 'Commercial Training or Coaching' of the Finance Act 1994 (the said Act) in respect of an MBA course conducted by it. The contention of the appellant is that the show cause notice dated 20 April 2012 raising a demand of Rs.5,34,65,194/- for the period October 20....

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....id view of the appellant was on the basis of an opinion of a consultant one JAC Consultant dated 9 June 2005. 6. A show cause notice was issued to the appellant on 20 April 2012 inter alia seeking to recover service tax amounting to Rs.5.34 Crores in the aggregate attributable to Commercial Training or Coaching Service, Management Consultancy Service, Business Auxiliary Service, Convention Service, Renting of immovable property. Out of the aforesaid demand of Rs.5.34 Crores, an amount of Rs.4,80,63,080/- was attributable to Commercial Training or Coaching service. The show cause notice covered the period October 2006 to March 2012. The appellant responded to the show cause notice and, inter alia, pointed out that prior to the amendment to ....

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....of eight weeks from the date of the impugned order dated 21 October 2013. 8. Being aggrieved by the impugned order dated 21 October 2013 of predeposit, the appellant submits that the in facts of the present case, a deposit of 50% of the service tax demand for the purpose of entertaining its appeal on merits is harsh, taking in view the facts that the appellant had a bona fide belief that being an institution rendering for charitable purposes, would not be liable for the payment of service tax. This view of the appellant was not only on the basis of an opinion of Consultants dated 9 June 2005 but also supported by various decisions of the Tribunal such as Great Lakes Institution of Management Ltd. v/s. Commissioner 2008 (10) STR 202, Indian....

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....5,194/calls for no interference. 10. Having heard the learned Counsel for the parties, we find that the Tribunal has taken a prima facie view that the appellant has been rendering taxable services by imparting training in MBA Course. We are not inclined to express any view on the merits of the controversy between the parties. The merits of the controversy would be examined in detail at the final hearing of the appellant's appeal. However, keeping in view the fact that the Tribunal itself had in Great Lakes Institute (Supra), Indian School of Business (supra) and in other cases has taken a view for the period prior to amendment in 2010 that institutions such as the appellant are not liable to pay service tax in respect of Commercial Trainin....