2018 (9) TMI 1514

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....V. Padmanabhan 1. The present appeal is against the Order-in-Appeal No. 73/2018-19 dated 20/04/2018. The appellant is engaged in the manufacture of various iron and steel products. They are also engaged in generation and transmission of electricity. The billing of electricity to buyers has three components:- i. Fixed charges ii. Energy charges iii. Unscheduled Inter-change charges (UI) 2. The....

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....,50,074/- along with interest and penalties under various sections of the Finance Act, 1994. Aggrieved by the order to pay Service Tax as above, the present appeal has been filed. 4. In this connection heard Shri, Sunil Upadhyay, Ld. Advocate, Shri Gaurav Aggarwal, Ld CA for the appellant as well as Shri P. Juneja, Ld. DR for the Revenue. 5. The arguments advanced on behalf of the appellant are ....

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....taken any obligation to refrain from transmission of electricity, but have received UI Charges only in terms of the regulations of Central Electricity Regulatory Commission. 6. The Ld. DR justified the impugned order. He brought to notice the CBEC Circular No. 192/02/2016-ST dated 13 April, 2016 which has clarified as under:- Sl. No. Issue Clarification 4. Service Tax on fines and penalties.....

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.... appellant. The view taken by the Revenue authorities is that such charges are covered under the Declared Service covered under Section 66E (e) (supra). This Declared Service covers those cases where service provider has agreed to take on himself an obligation to refrain from an Act. The UI Charges have been received by the appellant only in those cases where the buyer has drawn more electricity t....