2019 (4) TMI 1082

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....ta. 2. The appellant assessee is engaged in providing the following services (a) Technical Inspection and Certification Service and (b) Repair and Maintenance Service for which they are registered with the Service Tax department. They are also engaged in export of services. A Show Cause Cum Demand Notice (SCN) dated 27.03.2009 was issued for recovery of Rs. 95,50,588/- along with interest and to impose penalty under section 76, 77 and 78 for the period 20032004 to 2006-2007. The Adjudicating Authority confirmed the demand of Rs. 67,18,496/-and set aside the balance demand.   Hence, revenue is in appeal vide Appeal No.ST/358/2010 raising the following issues to be determined:- a. Whether the portion of the Order-in-O....

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....Section 76 of the Finance Act, 1994. h. Whether the appellant is liable for penalty under Section 77 of the Finance Act, 1994 amounting to Rs. 5,000/- i. Whether the appellant is liable for penalty under Section 78 of the Finance Act, 1994 amounting to Rs. 67,18,946/- j. Whether natural justice has been denied to the appellant by denying the benefit of Section 80 of the Finance Act, 1994. 3. The Ld. Consultant appearing on behalf of the appellant assessee submits that Rs. 8,08,898/- of total demand has been confirmed taking into account the consideration received for services exported out of India. The services rendered by them were exported out of India and accordingly, they are not liable to pay tax and furth....

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....6.06.2005 as reproduced below- Before 16.06.2005 65(105) "taxable service" means any service provided w.e.f. 16.06.2005 "taxable service" means any service provided or to be provided 6. The Ld. Consultant submitted that they were unaware of the amendment carried out by the Finance Act, 2005 regarding levy of tax on advances at the time of receipt of advances. In view of the amendment made to section 65(105) as discussed above, the advances were taxable only w.e.f. 16.06.2005. Prior to 16.06.2005, the advances received were not leviable to tax. If the advance is received prior to 16.06.2005 and services are rendered after 16.06.2005, they are not liable to pay tax. The Ld. Consultant also submitted that....

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..... However, he confirmed the demand for 2003-04 and 2004-05 on the ground of absence of documentary evidence to show that the foreign currency received were not repatriated out of India, which was then a primary condition for grant of exemption. We find that the appellant assessee has submitted a CA certificate which certifies that the appellant had not repatriated any foreign currency out of India during the relevant period. Accordingly, we hold that there is no liability on the part of the appellant assessee and therefore set aside the same. b. Export of Services: (2005-06, 2006-07) With regard to appeal filed by the Revenue on Export of Service for the period 2005-06 to 2006-07. We are of the view that as far as the orde....