2017 (11) TMI 397

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....rintendent (AR), for the Respondent. ORDER This appeal has been filed by M/s. Nirmal Seeds Pvt. Ltd. against confirmation of demands on GTA Service received by them. Lower authorities have confirmed the demands. Aggrieved by the said order, the appellants are before this Tribunal. 2. Learned CA appearing on behalf of the appellants argued that the appellants are not liable to pay ser....

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....ed by the appellants to the dealers. He pointed out that since the physical payment of freight is done by the dealer to the transporter, the liability would be on the dealer under reverse charge basis. He further argued that no penalty can be imposed under Service Tax Act and as this was the matter of interpretation of law, there was no intention to evade payment of duty. He relied on the decision....

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....x and deliberately device on mechanism to avoid it. 4. I have gone through the rival submissions. I find that in the case of Rajalakshmi Paper Mills Pvt. Ltd. (supra) it was not established that the consignee were paying the freight on behalf of the consignor. In the instant case, there is a clear understanding in this regard which can be seen by the manner of invoicing and the internal ac....