2015 (12) TMI 75

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...., for the Appellant. Shri A.K. Nigam, Additional Commissioner (AR), for the Respondent. ORDER Appellant is a Micro Financing Company. During the period from April, 2007 to September, 2010, the appellants had sold loan portfolios to banks and when loan portfolios are sold, the same were sold at a discount. According to the agreement between the banks and the appellant, when such loan portf....

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....k at the rate of 10% of the sale consideration received by the appellant from the banks. The payment of 10% has been arrived by the Commissioner but admittedly no basis has been communicated either in the order or in the show cause notice. The total amount of Service Tax demanded is Rs. 2,46,09,824/- and the period is covered by two show cause notices issued by the Revenue. Besides demanding Servi....

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....le to agree with the submission that appellant is not liable to pay any Service Tax towards the cost of collecting of EMI on the ground that there is no such cost at all. In our opinion when EMI is collected by the appellant from the borrower, it amounts to providing business auxiliary services to the banks and therefore appellant's contention that there is no service at all and no cost has been c....

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.... and in our opinion it should be possible. In the result, the impugned order is set aside, requirement of pre-deposit is waived and matter is remanded to the original adjudicating authority. The appellant shall submit the requisite certificate from a professional qualified/experienced cost accountant within 3 months from today (the time requested by the counsel for the appellant) and submit it to ....