2024 (3) TMI 922

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....ia and received in India) Rules , 2006. It has been provided under the Provisions of Finance Act, 1994 that any services specified in Section 65(105) of the Finance Act are provided by person who has business or establishment or place of resident in a country other than India and received by a person who has business or establishment or place of resident of India, in that case such service shall be taxable service and such service shall be treated as if the recipient himself has provided such services in India. On the basis of above views. The department issued a show cause notice dated 19.09.2014 where under Service Tax of Rs. 15,07,415/- was demanded under the provisions of Section 73 (1) of the Finance Act, 1994. The SCN also invoked penal provisions as well as provision for charging interest as per the Section 75 of the Act. 1.1. The matter got adjudicated vide impugned Order-In-Original dated 31.03.2015 where under all the charges as invoked in the show cause notice have been confirmed by the learned Adjudicating Authority. The appellant approached the office of Commissioner (Appeal), however the Commissioner (Appeal) vide impugned Order-In-Appeal dated 01.12.2015 rejected ....

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....this Tribunal decision in case of Commissioner Central Excise, Ahmedabad-iii Vs. Reclamation Welding Limited reported in 2014 (308) ELT 542 Tribunal-Ahmedabad as well as M/s. Alambac Limited vs. Commissioner Of Central Excise- Vadodara reported under 2014(308) ELT 535 Tribunal-Ahmedabad. 2. 2. The learned Advocate has also emphasize that the SEZ Act over rides all other prevailing acts including Finance Act, 1994 and as SEZ Acts exempts all the taxes for the units working in SEZ unit and therefore by virtue of SEZ Act no tax is payable on the services received by the appellant from the abroad. 2.3. The learned Advocate has also contended that the show cause notice dated 19.09.2014 has been issued for the period April, 2009 to March 2011 invoking extended time proviso under Section 73(1) of the Finance Act , 1994. It has been submitted that it was unjustified for the department to invoke the extended time proviso in their case as no element of any misstatement, collusion, suppression of facts with an intend to evade duty is present in their case. It was purely on the basis of record which have been submitted by them to the audit party that the technical issue has been made out....

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....Act, 1962 or the Custom Tariff Act, 1975 or any other law for the time being in force, on goods imported into, or service provided in, a Special Economic Zone or a Unit, to carry on the authorised operations by the Developer or entrepreneur; (b) exemption from any duty of customs, under the Customs Act, 1962 or the Customs Tariff Act, 1975 or any other law for the time being in force, on goods exported from, or services provided, from a Special Economic Zone or from a Unit, to any place outside India (c) exemption from any duty of excise, under the Central Excise Act, 1944 or the Central Excise Tariff Act, 1985 or any other law for the time being in force, on goods brought from Domestic Tariff Area to a Special Economic Zone or Unit, to carry on the authorised operations by the Developer or entrepreneur; xx xx xx (e) exemption from service tax under Chapter-V of the Finance Act, 1994 on taxable services provided to a Developer or Unit to carry on the authorised operations in a Special Economic Zone" From the reading of the above Section 26(1) (e) of the Special Economic Zone Act , 2005. We find that a substantive benefit of Service Tax exempti....

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....ng sections viz., Section 3 of the Central Excise Act, 1944, Section 12 of the Customs Act, 1962 and Sections 66, 66A and 66B of Chapter V of the Finance Act, 1994. In addition to the general principle of a specific law (pertaining to SEZ) prevailing over the general law (levying customs, central excise or service tax) and the later enactment (such SEZ Act, 2005) prevailing over the earlier enactments (Central Excise Act, 1944, Customs Act, 1962 and Finance Act, 1994), in the SEZ Act, the Parliament has explicitly resolved this inconsistency between the laws. Section 51 of the SEZ Act states that the provisions of SEZ Act override any other provisions of other laws. It reads as follows: 51.(1) The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law for the time being in force or in any instrument having effect by virtue of any law other than this Act. 38. Thus, insofar as supplies for authorised operations of SEZ developers and units are concerned, Section 26 of the SEZ Act overrides the charging sections in all the three Acts. Section in all three Acts. 39. The charging sections, having been....