AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2015 (9) TMI 1604
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....o service tax vide Section 83 of the Finance Act, 1994 (32 of 1994) in respect of show cause notice DGCEI F. No.30/KZU/KOL/GR.B/12/1945, dated 10-4-2013 issued to M/s. Saujannaya Enterprises (referred to as the noticee) having their Office at 40, Nimtola Ghat Street, Kolkata-700006 and presently working at DN-24, Matrix Tower, 10th Floor, Suite No.1005, Salt Lake City, Sector-VI Kolkata-700 091 (hereinafter referred to as 'the applicant') by the Additional Director General (ADC), Directorate General of Central Excise Intelligence, Kolkata Zonal Unit, 4/2 Karaya Road, Kolkata-700017 (hereinafter referred to as the DGCEI') answerable to the Commissioner of Service Tax Commissionerate, 180, Shanti Pally, Rajdanga Main Road, Rashbehari Connector, Kolkata-700 107 (hereinafter referred to as 'the jurisdictional Commissioner' for short). 2.1 As per the SCN, the applicant is a registered Service Tax assessee having Service Tax Registration No.ADOPD7464JST002 and is engaged in providing Manpower Recruitment or Supply Agency Services falling under clause (68) of Section 65 of Chapter V of the Finance Act, 1994 as amended and chargeable to Service Tax as per Section 66 of the....
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.... TOTAL 1,68,48,000 3. On completion of investigations, the SCN was issued whereby the applicant was called upon to show cause to the Commissioner of Service Tax, Kolkata-I Commissionerate, 180, Shanti Pally, Rajdanga Main Road, Rashbehari Connector, Kolkata-700 107 as to why : (i) Service Tax Rs. 3,19,37,464/- Education cess Rs. 7,67,362/- and Secondary & Higher Education Cess Rs. 3,83,682/- and totalling Rs. 3,30,88,508/- should not be demanded and recovered from them invoking the extended period of time limit as envisaged under the proviso to the sub-section (1) of Section 73 of Chapter V of the Finance Act, 1994 as amended, (ii) Interest at the appropriate rate under Section 75 of the Finance Act, 1994 should not be charged/ recovered from them for delayed payment of Service Tax including Cess, (iii) Penalty should not be imposed upon under Section 76 of the Finance Act, 1994 for contravention of Section 68 of the Finance Act, 1994, (iv) Penalty should not be imposed upon under Section 78 of the Finance Act, 1994 as Service Tax was not paid by way of wilful misstatement, suppression of facts with intent to evade payment of Service Tax, (v) Penalty....
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....ermination of Value) Rules, 2006, received from their clients during the course of investigation; that in the copies of agreements submitted by the applicant during investigation, there is no mention of such Pure Agent's services and that such a claim of the applicant that part of the amounts considered as taxable value in the SCN was actually Pure Agent's expenses and therefore excludible from taxable value, does not merit consideration. ADG, DGCEI also confirmed the payment of Rs. 1,68,48,000/- during investigation and another sum of Rs. 64,30,666/- paid by the applicant prior to intervention of DGCEI, KZU, Kolkata. 8. In the meanwhile, in his letter dated 4-2-2014 (should be 2015), the Advocate of the applicant prayed for supply of copy of reports submitted by DGCEI and Commissioner, Service Tax, Kolkata, and further prayed that if the above-mentioned reports are not in agreement with the submissions made by the applicant in respect of agreed amount of duty, then the matter may be referred to the Commissioner (Investigation) for further investigation or enquiry in terms of provisions of Sec.32F(4) of the Central Excise Act, 1944. This request for getting the matter inve....
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.... Commissioner has convey red that they agree with the views of DGCEI and have nothing more to add on the comments/ submissions dated 13-2-2015 made by ADGCEI, KZU, Kolkata. 10.1 The matter was fixed for hearing on 10-6-2015. However, a request was received from the applicant to refix the hearing after 30th June, 2015, since their advocate was out of station. The request of the applicant was acceded to and the next hearing in the matter was fixed for 13-7-2015. Applicant vide letter dated 9-7-2015 informed that since Mr. Anil Kumar Dubey, Proprietor of M/s. Saujannaya Enterprises is sick, the date of hearing may be re-fixed after 20 days. The next date of hearing was fixed on 30th July, 2015. However, applicant in his undated letter received in this Commission on 28th July, 2015 intimated that they have been informed that the personal hearing has been fixed on 30-7-2015 and that their advocate, Shri K.K. Biswas, has informed that he will not appear in their case before the Settlement Commission and they are in search of another Advocate. A fax dated 29-7-2015 from Shri K.K. Biswas, Advocate, was received on 30-7-2015 requesting to withdraw from the pleading of the case on health gr....
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....he applicant to be heard in person. However, the applicant has not availed of the same and has in his letter dated 31-8-2015 intimated that in view of the refusal of their Advocate, Shri K.K. Biswas, to appear in this case before the Settlement Commission and his inability to appear in this case because of heart disease, the Bench has been requested to consider their case. Thus, the applicant himself has requested the Bench to consider his case, without making any request for adjournment or a request for hearing. 11.2 In view of the same, the Bench proceeds to decide this matter on the basis of the material available on record. 11.3 The Bench finds that the applicant has not filed returns as prescribed in clause (a) of the first proviso to Section 32E(1), as made applicable to Service Tax as per Section 83 of the Finance Act, 1994. This clause states that no application shall be made unless the applicant has filed returns showing production, clearance and central excise duty paid in the prescribed manner. In this context, the Bench notes that the applicant, Shri Anil Kumar Dubey. Proprietor of M/s. Saujannaya Enterprises, in his statement dated 7-3-2012 has categorically stated t....