2018 (5) TMI 1231

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....HNICAL) Present for the Appellant : Mr.R.M. Saxena, Advocate Present for the Respondent: Mr. Sanjay Jain, D.R. PER: V.PADMANABHAN These appeals are filed by the assessee as well as the Department against Order-in-Appeal No.217-218/2013-14 dated 28.01.2014. The appellant-assessee is engaged in the retreading of tyres as a franchise of M/s. MRF Ltd. The said activity is covered under the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nce Act. The assessee has filed appeal challenging the demand of Service Tax as above. The Revenue is in appeal before us with the contention that penalty under Section 78 will also to be imposed on the assessee. 2. Aggrieved by the impugned order, the present appeals have been filed, which are disposed of with this common order. 3. With the above background, we have heard both the sides. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ice Tax demand. He submitted that the tread rubber is not sold by the assessee but is consumed in the process of retreading of the tyres. He further submitted that the lower authority has specifically recorded the finding that the assessee has failed to produce necessary documentary evidence with regard to sale of material and hence, the demand for Service Tax is to be upheld alongwith denial of t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....t produced necessary documentary evidence with regard to the sale of such material. 8. We have carefully perused the decisions cited on behalf of the assessee. In the case of Safety Retreading Co. (supra) the Hon'ble Supreme Court has occasion to consider a similar contract for the retreading of tyres. The Apex Court has considered the practice in the industry of retreading of tyres wherein out....