2014 (8) TMI 24

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....RDER The appellant is engaged in providing Rent-a-Cab services. On the ground that appellant did not pay service tax in respect of few transactions during the years 2004-05 and 2005-06, proceedings were initiated which has culminated in confirmation of demand for service tax of Rs. 87,027/- with interest and penalty under various sections of the Finance Act, 1994. 2. The learned C.A. on beh....

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....ed not pay tax when the cab is hired by another rent-a-cab operator from him. He submits that the lower authorities have taken the view that it was the duty of the assessee to show that the rent-a-cab operators to whom he had given cabs have paid service tax, which is not correct. 4. I have gone through the letter issued by Assistant Commissioner of Service Tax. He has cited the clarificatio....

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.... However, if the other rent-a-cab operator is also registered and pays the tax, then it would result in a situation where two operators would be paying tax on the same service. To prevent such a situation, this clarification has been issued. There is no dispute and there cannot be any dispute that liability would be on the operator who has rented out the cab to the other operator also, but he need....

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....cles which had the capacity to carry more than 12 persons under rent-a-cab service. Both sides agree that the liability would arise only if the capacity is less than 12 persons. The lower authorities have confirmed the demand on the ground that the appellant did not mention the registration number of the vehicle which was rented out, but only mentioned the capacity of the vehicle. Before the adjud....