2007 (2) TMI 675

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....s demanded service tax to the tune of ₹ 1,23,31,979/- along with Education Cess to the tune of ₹ 17,603/- for the period from July 2003 to March 2005 under proviso to Section 73 (1) of the Finance Act 1994. He has demanded interest under Section 75 ibid. He has imposed penalty of ₹ 150/- per each day of failure to pay the Service Tax under Section 76 of the Act. He has also imposed penalty equal to the service tax demanded under Section 78 of the Finance Act, 1994. The appellants strongly challenged the impugned order. 3. Shri N.C. Prasad and Mrs. Sindhu, learned Advocates appeared for the appellants and Shri K. Sambi Reddy, the learned JDR appeared for the Revenue. 4. The learned Advocate explained to the Benc....

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.... to which "Commission agent" means a person who causes sale or purchase of goods on behalf of another person for a consideration which is based on the quantum of such sale or purchase. Further he contended that Para 3.1 of the Show Cause Notice issued to the appellants states clearly that during the course of investigation, "it was revealed that from the agreement of agency dated 1-4-04 that Margadarshi has been providing BAS as Commission agents to their clients Ushodaya in respect of various services". In view of the above, the Adjudicating authority cannot hold that the appellant is not covered by the definition of commission agent. Finally the learned Advocate contended that the Department was very well aware of the activities of the ap....