TaxTMI 
TaxTMI 
2025 (3) TMI 1742
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....b) Issue a writ or order or direction in the nature of any writ by setting aside the demand of service tax of Rs.58,14,770/- along with interest and penalties of Rs.58,14,770/- and Rs.10,000/- each respectively imposed-under Section 78(1), 77(1)(a), 77(1)(c)(i) and Rs.77(2) of the Finance Act, 1994; and c) Pass such other order(s) or direction(s) as deemed fit and proper in the facts and circumstances of the case in the interest of justice." 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. Though several contentions have been urged by both sides in support of their respective claims, the issue in controversy between the parties is directly and squarely covered by the judgment of the Co-ordinate Bench of this Court in the case of Thamaneni Venkatareddy Vs. The Assistant Commissioner in WP No.628/2024 & connected matters dated 10.07.2024, wherein it was held as under; "In all these matters, the proceedings by way of show cause notice under the Finance Act for Service Tax liability have been initiated on the basis of inputs received from the Central Board of Direct Taxes (CBDT) on the bas....
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....6/2024 4. After having heard the matters on various occasions, the Union of India have taken a stand and filed affidavit of the Principal Commissioner, Central Taxes. 5. Sri.N.Venkataraman, learned Additional Solicitor General who was present before the court on 27.06.2024 had submitted that they desire that the matters be resolved and accordingly have put-forth a proposed mechanism and made certain suggestions in the affidavit filed. The relevant extract of the affidavit filed by the Principal Commissioner of Central Tax, presently holding charge of Bengaluru West and additional charge of Bengaluru East Commissionerate reads as hereunder: "I, Kiran Verma, working as Principal Commissioner of Central Tax, presently holding charge of Bengaluru West and additional charge of Bengaluru East Commissionerate, Bengaluru do hereby solemnly affirm and state on oath as follows: I am working as Principal Commissioner of Central Tax, Bengaluru West and holding additional charge of Bengaluru East Commissionerate, Bengaluru -560071. I am the concerned person in the above Writ Petition. I am fully conversant with the facts of the case. I am authorized to swear ....
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....vices rendered by the assesses appeared to be classifiable as taxable service in terms of Section 65B(44) read with section 66B of the Finance Act, 1994. 5. I submit that the department received a total number of 49,665 cases from the CBDT and after receipt of the data the department has verified the same. After preliminary verification, the department initially filtered the cases and where there was no component of Service Tay dropped 21,549 such cases after detailed verification. Thereafter the department issued Show Cause Notices to the Assessee in the remaining 28,116 cases and called for clarification/explanation. The adjudicating authority during the course of adjudication, after providing a hearing opportunity to the notice, dropped the show cause notices in about 8,816 cases wherever the Service tax component was not found. The adjudicating Authority after providing reasonable opportunity and hearing opportunities proceeded to confirm the show cause notice by way of an Order-In-Original in a total number of 19,300 cases by following the due process of law and following the principles of natural justice. The department in further course of action has also recovered ....
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.... Table-1 BANGALORE ZONE - DATA 01 02 03 04 05 06 07 Commission rate's No. of cases received from CBDT No. of cases dropped prior to issuance of SCN No. of cases where SCNs were issued No. of Cases where SCNs were dropped No. of cases where SCNs were Confirmed No. of cases where demand is recovered Bangalore East 11,113 6,387 4,726 801 3,925 310 Bangalore North West 4,355 1,465 2,890 952 1,938 44 Bangalore South 12,120 4,447 7,673 2,340 5,333 99 Mangalore 3,632 2,847 785 490 295 - Bangalore North 5,564 1,928 3,636 1,629 2,007 9 Mysore 2,703 843 1,860 441 1,419 32 Belagavi 5,842 2,549 3,293 864 2,429 58 Bangalore West 4,336 1,083 3,253 1,299 1,954 35 Total 49,665 21,549 28,116 8,816 19,300 587 Summary of the same is produced below: Table-2 SI No. Number of Cases Percentage (i) Number of references received from CBDT 49,665 100% (ii) Dropped before issuance of Show Cause Notice 21,549 43% (iii) ....
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....d be done within a period of three months. 9. Needless to state, a bare perusal of all the petitions reveals that the petitioners have raised various contentions which are required to be referred back for consideration by the appropriate authorities so that officers concerned may take note of the same while disposing off the petitions at the stage of post show-cause notice. 10. The officers while disposing off the petitions to keep in mind the following: 1) Whether petitioners do not qualify under Section 65B(44) of the Finance Act, 1994 ? 2) Whether services are covered under negative list ? 3) Whether services are covered under the exemption list under the Notification No.25/2012-ST dated 28.06.2012 or under any other applicable Notifications? 4) Whether the person is liable to remit service tax in terms of Rule 2 (1) (d) read with applicable notification? 5) Whether claims are barred by limitation in terms of the law laid down by the Apex Court? 11. It is also clarified that disposal of present petitions must not be construed as having adjudicated any of the contentions including jurisdiction. All contention....
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.... Order-in-original 11 7608/2024 Order-in-original 12 8299/2024 Order-in-appeal/order in original 13 9674/2024 Order-in-original 14 14354/2024 Order-in-original 15 16020/2024 Order-in-original 16 16309/2024 Order-in-original 17 16623/2024 Order-in-original 18 17141/2024 Order-in-original 19 18106/2024 Order-in-original 20 18151/2024 Order-in-original 5. In light of the observations made above, the writ petitions relating to challenge to show-cause notice, such matters will stand relegated to the Officers to be designated in terms of the observations made in para-8 above, at the same stage. Accordingly, such of the writ petitions relating to challenge to show-cause notice are disposed off. The reconsideration must be made with reference to the issues raised in para-10 of W.P.No.11154/2023 and connected writ petitions extracted supra. 6. Insofar as Writ Petitions relating to challenge to Orders-in-Original, in light of the discussion made hereinabove, the Orders-in-Original stand set aside and the matters are relegated to the Officers to be designated (as referred to in para-8 o....