2026 (3) TMI 28

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....ation stands disposed of. SERTA 3/2026 3. This appeal is filed under Section 35G of the Central Excise Act, 1944. read with Section 83 of the Finance Act, 1994, by the Revenue. The challenge in the appeal is to the order dated 16th September, 2025, passed in Final Order No. 51323/2025 in Service Tax Appeal no. 50359/2025, passed by the CESTAT. 4. By the impugned order, the CESTAT has recorded the findings that the respondent is not liable to pay service tax on fee charged under the heads "Standard & Labelling (Registration and Labelling Fee)" and "Processing Fee," as such services were sought to be categorised under "Technical Inspection and Certification Service". 5. The Tribunal was of the view that the issues raised before it....

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....hartered Accountant submitted that, as per law the assessee- Appellants are required to deposit in a designated fund which will be used for organizational expansion of the assessee- Appellants, their expansion and further requirements are mandated by the Government Regulations and they are under the direct control of the Ministry of Power supported by budgetary framework. In case of winding up of the assessee-Appellants organization, the whole of the assets and finance will lie with the Central Government under whose authority they are created. 6. In view of the above facts and discussions, we find that the impugned order is not legally sustainable. The assessee-Appellants, acting in pursuance to the statutory regulations, collecte....

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.... as such, the appeal is very much maintainable. 9. Having considered the rival claims, we have gone through the judgments cited by the counsel for the respondent in the matter of M/s Konark Exim Pvt. Ltd (referred supra). In the said matter, by relying on the judgment of this Court in the matter of Spicejet Ltd. (referred supra), it has been held that the issue in relation to taxability, an appeal before the High Court under Section 35G is not maintainable, and the only remedy available is an appeal to the Apex Court under Section 35L of the Central Excise Act, 1944. 10. Since the objection raised by the counsel for the respondent is squarely substantiated by the aforesaid authoritative judicial pronouncements, we upheld the prelimina....