TaxTMI 
TaxTMI 
2025 (2) TMI 558
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....ervice Tax in respect of rent-a-cab scheme operator's service (rent-a-cab service), an investigation was initiated by the Headquarters Anti-Evasion Wing of the Central Excise and Service Tax Commissionerate, Guwahati. 1.1. Upon completion of the investigation, a Show Cause Notice dated 23.10.2013 was issued to the appellant inter alia demanding Service Tax of Rs.97,91,695/- (inclusive of cess) under the category of rent-a-cab service Rs.1,31,092/- (inclusive of cess) under the category of 'tour operator's service' and Rs.84,291/- (inclusive of cess) under the category of 'business auxiliary service' for the period from April 2008 to March 2013 in terms of proviso to Section 73(1) of the Finance Act, 1994. 2. The said Notice was adjudi....
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....Service Tax; they contend that they are eligible for the abatement as provided under Notification No. 01/2006-S.T. dated 01.03.2006, but the ld. adjudicating authority has not granted the benefit of abatement and charged Service Tax on the gross amount. In support of their argument that they are eligible for the abatement, the appellant relied upon the decision of the Hon'ble Supreme Court in the case of CC(P) Gujarat v. Reliance Petroleum Ltd. [2008 (5) TMI 13 SC]. The appellant submits that the abatement claimed by them has been rejected on the ground that the invoices show that the appellant have charged Service Tax on the unabated value. 4.1. Regarding the demand of Service Tax under the category of 'tour operator's service', the app....
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.... under Companies Act 1956, which reflect the statement of financial affairs as on the respective balance sheet date. It is their submission that the data available in the Profit and Loss account and balance sheet cannot be automatically construed as taxable values, liable for service tax and it must be established whether the activity undertaken by the appellant falls within the ambit of charging Section and to whether service tax is leviable on the said activity or not. The appellant submits that Service Tax cannot be levied or imposed in a blanket manner; transaction wise meticulous verifications are the essential needs for proper valuation of Service Tax; that in the present case, the Department has mechanically issued the Show Cause Not....
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.... worked out by the Department on the basis of the figures available in the balance sheet and profit and loss account of the appellant, which is as follows: - Year Service Tax payable ST EC SHEC Total 2008-09 2885086 77702 38851 4001639 2009-10 2764005 55280 27640 2846925 2010-11 2620212 52404 26202 2698818 2011-12 2959157 59183 29592 3047932 2012-13 952357 19047 9524 980928 Total 13180817 263616 131809 13576242 8.1. It is on record that the appellant has paid Service Tax of Rs.37,84,548/- for the period from 2008-09 to 2012-13 which has been appropriated/adjusted in the impugned order. The appellant submits that rightly p....
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....pertaining to the normal period as confirmed in the impugned order is upheld. The matter is remanded back to the adjudicating authority for the purpose of quantifying the demand of Service Tax under the category of rent-a-cab scheme operator's service for the normal period of limitation. The appellant is liable to pay the service tax for the normal period of limitation along with interest. 9. We also find that the ld. adjudicating authority has confirmed the demand of Service Tax under the category of 'tour operator's service' by granting the benefit of abatement at the rate of 75% from the gross amount received in terms of Notification No. 38/2007-S.T. dated 23.08.2007, as amended, and worked out the liability of Rs.35,276/- during the ....
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....d that the extended period of limitation cannot be invoked to demand Service Tax in this case. Accordingly, we restrict these demands raised to the normal period of limitation. We therefore remand the matter back to the adjudicating authority for the purpose of quantifying the demand of Service Tax under the categories of 'tour operator's service' and 'business auxiliary service' for the normal period of limitation. The appellant is liable to pay the service tax on the above said services for the normal period of limitation along with interest. 10. In the facts and circumstances of the case, we hold that penalty under Section 78 of the Finance Act, 1994 is not imposable on the appellant. Consequently, the penalty imposed under Section 78....