2016 (11) TMI 490

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....fter the supply of equipments to the customers, the appellant also undertakes installation and commissioning of the equipments at the customers premises. They also undertake repair and maintenance of the equipments and in some cases undertake training of staff of the customers. The charges for all the three services are invoiced separately. The Department noticed during the audit that the appellant was not paying service tax on the services rendered by them under the three categories stated above. They also noticed that service tax was not paid on the value received by the appellant pertaining to marketing, technical and other services. Show Cause Notice was issued on 24.08.2007 proposing demand of service tax to the extent of Rs. 13,18,795....

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.... cannot be sustained. (iii) The appellant has submitted that the balance amount of demand pertains to the activity of marketing, technical and other services, the service tax for such receipts stand already paid by their head office. The details of payment of such service tax was brought to the notice of the original adjudicating authority based on which the demand was dropped by him. However, ld. Commissioner, while passing the impugned order has upheld the demand by holding the view that the appellant has failed to substantiate their claim of payment of service tax by their head office with documentary proof. They further submit that the ld. Commissioner has not referred to the original documents submitted by them and also did no....

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.... of the service tax demanded has already been paid by the head office of the assessee. However, they failed to produce the documentary proof and get their claim substantiated before the Commissioner. 6. The undisputed fact is that the appellant has carried out, after clearance of pollution control equipments from their factory, the erection, commissioning and installation of such equipments at the customers premises. They have also carried out repair and maintenance activities of such equipments as well as undertaken training of the customers staff. For all these activities, they have raised separate invoices. Revenue has sought to recover the service tax on such activities for the period prior to 01.07.2003 by taking the view that such ....

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....nt. The claim of the appellant is that the service tax stands paid by their head office. Proof of such payment also appears to have been submitted and accepted by the Addl. Commissioner and the demand for this portion was dropped. However, the Commissioner has disallowed such claim with the observation that the noticee has contended that out of the total taxable value of Rs. 2,01,30,363/- the amount of Rs. 1,60,83,577/- pertains to non-taxable value and that the service tax on the remaining taxable value has been paid by their Delhi office. But I find that the noticee has failed to substantiate their claim with sufficient documentary proof. 9. Ld. Counsel for the appellant has contended that they are in a position to submit the proof of ....