2018 (8) TMI 818

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....artment that the appellant is providing taxable service i.e. Business Auxiliary Service (BAS) for promoting and marketing of the product and not paying service tax on the same. A show cause notice was issued to the appellant for demanding service tax to the tune of Rs. 8,49,855/- for the period 2005-06 to 2009 -10. Thereafter, the appellant took the matter with their service recipient and after receiving the amount of service tax from their service recipient, paid to the Department, but no interest has been paid by the appellant. Thereafter, the adjudication took place and after adjudication the demand of service tax was confirmed alongwith interest and penalty was also imposed. The said order was challenged before the ld. Commissioner (App....

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....nt never paid any service tax on their activity which is a taxable service under the category of BAS, therefore, it is a clear case of suppression of fact. Therefore, the appellant is liable to pay service tax alongwith interest and penalty is to be imposed. 5. Heard the parties and considered the submissions. 6. On careful consideration of the record placed before me and arguments advanced by the parties, I find that in this case if no audit took place at the end of M/s Godavari Pipes Pvt. Limited, the evasion of service tax would not have been detected by the Revenue. The contention of the appellant that they weres under bonafide belief that their service recipient has to pay service tax is not acceptable as there is no written agreemen....