TaxTMI 
TaxTMI 
2025 (5) TMI 2290
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....eal. In view of this circumstance and in view of the decision of the Hon'ble Apex Court in the case of M/s. Balaji Steel Re-Rolling Mills vs. C.C.E.& Customs [2014 (310) ELT 209 (SC)], wherein it has been held as follows: "Appeal before Tribunal not to be dismissed in default but only on merit as the order under challenge and grounds of appeal are available to Tribunal for consideration and that no inherent power is vested with the Tribunal." 2. We proceed, in absence of appellant, to decide the appeal on merits. Arguments on behalf of the Departmental Representative heard. The learned Departmental Representative reiterated the findings in order-in-original. However, it is mentioned that the issue involved in the present appeal ....
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.... that these charges were recovered for agreeing to tolerate breach of contract on part of the supplier's, and such act of tolerating since amounts to "Declared Service" defined under section 66E (e) of Finance Act, 1994 that the amount recovered is taxable. 5. It has been observed and has also been brought to notice by learned Departmental Representative that this issue stands already decided by this Tribunal in the case of South Eastern Coal Field vs. Commissioner of Central Excise and Service Tax [2020 (12) TMI 912-CESTAT]. The said decision stands already affirmed by Hon'ble Apex Court vide the decision reported in Commissioner of Central Excise and Service Tax vs. South Eastern Coalfields Ltd [2023 (8) TMI 606-SC]. It was held in the....
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....other for consideration. Explanation (a) to section 67 provides that "consideration" includes any amount that is payable for the taxable services provided or to be provided. The recovery of liquidated damages/penalty from other party cannot be said to be towards any service per se, since neither the appellant is carrying on any activity to receive compensation nor can there be any intention of the other party to breach or violate the contract and suffer a loss. The purpose of imposing compensation or penalty is to ensure that the defaulting act is not undertaken or repeated and the same cannot be said to be towards toleration of the defaulting party. The expectation of the appellant is that the other party complies with the terms of the con....
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....o be made to Circular No. 1053/02/2017-X issued by Central board of excise and customs (renamed as Central board of Indirect tax and customs). The relevant text of the circular is reproduced herewith for the sake of brevity. 8.1 Ingredients for extended period: Extended period can be invoked only when there are ingredients necessary to justify the demand for the extended period in a case leading to short payment or non-payment of tax. The onus of establishing that these ingredients are present in a given case is on revenue and these ingredients need to be clearly brought out in the Show Cause Notice along with evidence thereof. The active element of intent to evade duty by action or inaction needs to be present for invoking extended peri....