TaxTMI 
TaxTMI 
2019 (6) TMI 383
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....has obtained registration with the jurisdictional Service Tax authorities in Ranchi. The appellant closed down its business operations in Ranchi and obtained registration with authorities in Delhi. Investigation proceedings were initiated for the non payment of service tax for the period October 2010 to March 2015 for the business operations in Ranchi. The appellant participated in the summon proceedings in Ranchi wherein they inter-alia submitted that there were certain non payment of service tax due to arrears from the clients. Show Cause Notice dated 16.03.2016 was issued for demand of service tax of Rs. 44,23,088/- together with interest and penalty under Section 77 and 78 of the Finance Act, 1994, based upon the difference in figures a....
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....on Projects Ltd (MPL) were not also rejected by the Ld. Commissioner (Appeals) on the ground that the said Form 26AS is not a fictitious document but one that is to be filed by an entity making payment and deducting Income Tax at source. It has also been observed that even there may be errors in 26AS statements but the same would create a TDS obligation on the party declaring the payments in question. 3. Heard Sri P. P. Singh, CA, appearing for the appellant and Sri K. Choudhuri, Supdt. (AR) appearing on behalf of the Revenue. The Ld. CA filed a detailed written submission wherein he has submitted that :- (i) Both the authorities below made an error in not appropriating the total amount of service tax of Rs. 15,57,973/- paid by ....
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....ssive delay in recovering the amount from the clients. It is his submission that one of the clients, MCL, released payment of Rs. 8,28,708/- which was over-due, only after the intervention of service tax department. He also submitted that one of the parties, M/s Atlanta Limited has not made the payment of service tax which has been deposited by the appellant from his own pocket, out of the amount received from "One Rank One Pension" (OROP). He relied upon several decisions to plead that delay in payment of service tax could not be attributed to the reasons of wilful suppression or fraud when the service consideration with tax liability have been duly accounted in the Books of Accounts. He emphasized that the appellant is entitled to waiver ....
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....e appellant has submitted the bank statements before the Adjudicating Authority, no credence has been given to the appellant's submissions by the authorities below in view of the figures appearing in the aforesaid Form 26AS. In my view, the value of taxable services cannot be arrived at merely on the basis of the TDS statements filed by the clients inasmuch as even if the payments are not made by the clients, the expenditures are booked based on which the Form 26AS is filed, which cannot be considered as value of taxable services for the purpose of demand of service tax. At this stage, I am of the opinion that the ends of natural justice would be met if the matter is sent back to the Original adjudicating authority for the purpose of correc....
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....tal service tax liability for the impugned period October 2010 to March 2015, there is no dispute with regard to the fact that there has been excess payment of tax. When both the excess and short payment of tax has arisen during the period in dispute, there is no reason for not allowing the adjustment of excess amount of tax paid. I find that the Tribunal in the following cases have held that the assessee is entitled for adjustment of excess amount of tax paid so that demand is raised only for the net amount of tax paid in short:- CCE vs. Telecom District Manager, BSNL -2017 (47) STR 282 (Tri-Del) CCE, Mysore vs. Powercell Battery India Ltd.- 2010 (19) STR 400 (Tri-Bang) 9. In so far as penalty is concerned, the appella....