2013 (11) TMI 1689

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.... Sisupal, AC (AR), for the Respondent. ORDER [Order per : Mathew John, Member (T)]. - The applicant is a company incorporated on 1-5-2008 under the Companies Act, 1956. This company is a joint venture of M/s. Renold International Holding Ltd. (RIHL) and M/s. LG Balakrishnan & Bros. Ltd. (LGB), holding 75% and 25% of shares respectively. 2. Before acquiring the entire business of the Indust....

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....vices" and the applicant-company should have paid service tax under reverse charge mechanism as provided in Section 66A of the Finance Act, 1994. Based on such reasoning a show cause notice was issued and on adjudication, service tax demand of ₹ 30,96,588/- along with interest and penalties is confirmed against the applicant. Aggrieved by the adjudication order of the Commissioner, applicant....

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....id not receive any service from the three consulting companies because when the service was rendered the applicant-company was not in existence at all and transfer of money from the applicant-company to RIHL by itself cannot imply that RIHL was providing the service to the applicant. Thus the ld. Advocate submits that services received prior to the incorporation of the company cannot be taxed in t....