TaxTMI 
TaxTMI 
2026 (2) TMI 1013
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....h interest under Section 75 of the Finance Act, 1994 and penalties under Sections 77 and 78 of the said Act, as confirmed in the Order-in-Original No. 36/ADC/ST/KOL/2013-14 dated 21.03.2014, has been upheld. 2. During the course of hearing, the appellant submitted that during 2007-08, they were rendering services under the category of 'maintenance and repair service' and 'works contract service'. 2.1. It is the appellant's submission that they have paid Service Tax on the taxable value of Rs.3,55,671/- in respect of 'maintenance and repair service' for the second half of the Financial Year 2007-08. The appellant thus contends that they have appropriately discharged their Service Tax liability under the category of 'maintenance and rep....
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.... amounting to Rs.11,53,324/-, which has also been acknowledged by the lower authorities. In this regard, the appellant claimed that they have also made a payment of Rs.1,10,963/-, which was not taken cognizance of by the lower authorities while calculating the demand for the period 2011-12. 3. On the other hand, the Ld. Authorized Representative of the Revenue reiterated the findings in the impugned order. Accordingly, he justified the demands raised against the appellant. 4. Heard both sides and perused the records of the case. 5. We find that the demand of Service Tax in this case has been confirmed under the categories of 'maintenance and repair service' and 'works contract service', for the periods 2007-08 and 2011-12. 5.1. ....
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....007 to November, 2008 and at the rate of 2% for March, 2008 by availing the benefit of the Composition Scheme. However, the Show Cause Notice has been issued demanding Service Tax at the rate of 12.36% on the ground that the appellant was not entitled to avail the benefit of the Composition Scheme since they failed to exercise the option in terms of Notification No.32/2007-S.T. dated 22.05.2007. It is relevant to observe that during the period under dispute, 'works contract service' was a new service. The Composition Scheme was a facility which was extended to assesses as an option thereunder. Non-exercise of such an option could only be construed as a procedural irregularity. The substantial benefit of the said scheme cannot be denied to t....
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.... per the records placed before us, is that they have made an additional payment of Rs.1,10,963/- for the period 2011-12, but the same has not been considered by the ld. adjudicating authority. Considering the above, we hold that there shall be no short payment of Service Tax for the period 2011-12 on the part of the appellant, subject to verification of the above claim of additional payment by the appellant. The appellant is directed to produce evidence to substantiate their above claim before the adjudicating authority. Upon verification, if it is found that the said amount has already been paid by the assessee, then the same shall be appropriated towards their tax liability for the period 2011-12 and no further demand can be raised agains....