2017 (8) TMI 638

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.... ORDER Per : Devender Singh The appellants are in appeal against the impugned order. 2. The brief facts of the case are that the M/s Satish Kumar Contractor, Ltd. are holding Service Tax Registration number for providing construction services. During the audit of their record, the Service Tax Authorities noticed that they had shown expenses on inward freight amounting to Rs. 17,47,535/- d....

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....Ld. Advocate for the appellants submits that they are not contesting the chargeability of the Service Tax but they are only contesting the extended period and the penalty. He argued that the service was new at the time as it was introduced in 2004. As such they were not aware of their liability under reverse charge. He also pleaded that the situation was revenue neutral as they are entitled to tak....

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....w liability is not acceptable for more than one reason. Firstly, they were registered as construction service provider. Secondly, had the non-payment been for initial few months, it could perhaps be understandable that they were not aware, but the period in this case stretches to over three years. Hence, it cannot be contended that the appellants were not aware of their liability for such a long p....

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....as willful suppression on the part of the appellants as they were aware of the freight paid by them but knowingly chose not to take registration and to discharge their statutory obligations. On the plea of revenue neutrality on the ground that the appellants could pay the Service Tax and then take input credit, a right to claim input service credit against duty/tax on output service is different f....