TaxTMI 
TaxTMI 
2026 (8) TMI 237
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....the relevant period till the payment of the confirmed demand of Service Tax mentioned at Sl.No. (a) above, under the provisions of Section 75 of the Finance Act, 1994 read with Section 174 of CGST Act, 2017. c. I impose the Penalty to Rs.47,15,636/-(Rs. Forty Seven Lakh Fifteen Thousand Six Hundred and Thirty Six Only) under Section 78 of the Finance Act, 1994 read with Section 174 of CGST Act, 2017. [However, an option is being given to Noticee under the Proviso (1)(ii) of Section 78 of the Finance Act, 1994 that if the service Tax alongwith interest within the period of thirty days from the receipt of this Order-in-Original issued under the proviso to sub section (1) of Section 73 of Finance Act, 1994, the penalty payable shall be twenty five percent of such service tax and proceeding in respect of service tax, interest and penalty shall be deemed to be concluded.) d. I also impose a penalty of Rs.10,000/-[Rupees Ten Thousand only] upon the Noticee under Section 77(1)(c) of the Finance Act, 1994read with Section 174 of CGST Act, 2017, for the reasons as discussed here-in-above. e. I also impose a late fee of Rs.40,000/- [Rupees Forty Thousand only upon ....
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....rguments. 4.2 Impugned order records the findings as follows: "5.1 I have carefully gone through the case records. By the impugned order, the adjudicating authority had confirmed the demand of Service Tax of Rs. 47,15,636/- alongwith applicable interest and penalties were also imposed upon the appellant. 5.2 I have carefully gone through the case records and averments submitted by the appellant I find that there is a dispute whether the consideration Rs. 3,14,37,570/- is taxable or not. 5.3 The appellant has submitted that neither he has received any show cause notice nor received any notices for personal hearing before the adjudicating authority in the matter. 5.4 I find from the impugned order that the appellant has filed this appeal on 16.10.2024 against the order passed on 30.07.2024 which is within the purview of Section 85 of the Act. 5.5 The appellant has contended that he has not received Show Cause Notice and opportunities for personal hearing before the adjudicating authority but did not presented any material evidence on records to substantiate his claim also noted that he received the Order passed by the adjudicating autho....
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....in-after referred to as the Act) are engaged in providing taxable services under Section 65B (51) and or 'declared services' as defined in Section 66E or such services which are not covered in the negative list under Section 66D of the Finance Act, 1994 or not exempted under mega exemption Notification No. 25/2012-ST dated 20.06.2012 as amended from time to time. 2. And whereas on the basis of the information for the Financial Year 2016-17 received from Income Tax Department under third party data exchange policy, it was revealed that the 'Noticee' had received the amounts for providing taxable services. Further on perusal of the ST-3 detail on the common portal, 'No records found' were mentioned. Hence, it appears that the party had neither filed any ST-3 returns nor paid any due Service Tax, to the exchequer of the Central Government for Financial year 2016-17 as they were required to pay the same under Section 68 of the Finance Act 1994. Further, it appears that the services provided by the Noticee during the Financial Year 2016-17 were neither covered in the Negative list of services under Section 66D of the Finance Act, 1994 nor exempted under ....
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....g all cess (Col.2 X 15%) Service Tax paid as per ΤΡΙ Net Service Tax payable by the Noticee (Col.3Col.4) 1 2 3 4 5 2016-17 31437570 4715636 0 4715636 Thus, as illustrated above, it appears that the party has not paid Service Tax (including cess) amounting to Rs. 4715636/- (Rupees Forty Seven Lakh Fifteen Thousand Six Hundred Thirty Six only) which was payable by the Noticee and hence appears recoverable under Section 73(1) of the Finance Act, 1994. 5. And whereas, it has been noticed that the party did not inform the department about their actual Taxable Value received from their Service Recipients neither by way of disclosing the same in their ST-3 returns correctly nor on the request made by the department continuously. Had the information not been received from the othe rces such as income tax as a third party information, the fact that the party has not disclosed their correct value of Services, the fact of receiving of the amount by the Noticee from their customer/recipient of services and the service tax evaded thereon would have been remained unnoticed by the department. Thus the Noticee suppressed the fac....
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....44 a Rules framed under both of these Acts (the existing law) have beer repealed under Section 174 of the CGST Act, 2017 provided that it shall not affect any investigation, inquiry, verification (including scrutiny and audit), assessment proceedings, adjudication and any other legal proceedings or recovery of arrears or remedy in respect of any such duty, tax, surcharge, penalty, fine, interest, right, privilege, obligation, liability, forfeiture or punishment, as aforesaid, and any such investigation, inquiry, verification (including scrutiny and audit), assessment proceedings, adjudication and other legal proceedings or recovery of arrears or remedy may be instituted, continued or enforced, and any such tax, surcharge, penalty, fine, interest, forfeiture or punishment may be levied or imposed as if these Acts had not been so amended or repealed. Further, as per provision of Section 142(8)(a) of the CGST Act 2017, where in pursuance of an assessment or adjudication proceedings instituted, whether before, on or after the appointed day (01.07.2017), under the existing law, any amount of tax, interest, fine or penalty becomes recoverable from the person, the same shall, unless recov....
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....o be heard in person by the adjudicating authority before the case is decided. If no such mention is made in their written reply, it shall be presumed that the Noticee do not desire any personal hearing. 11. It is also clarified that present Show Cause Notice has been prepared on the basis of facts available with the department as provided by the Income Tax Department in form of third party data. The Noticee has not turned up to state whether they have provided any other taxable service or this service to any other person. If any additional information comes to notice in future and it is found that service tax liability on such amount has not been paid by the Noticee, another Show Cause Notice covering the additional details of amount received will be issued as and when necessary covering the period after invoking ex led period in as much as the party would have suppressed the facts with the department 12. If the Noticee do not show cause a against the action proposed in this notice within a period of 30 days or extended period as the case may be and/or if the Noticee or their authorized representative do not appear before the adjudicating authority on date and at....
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....HWAR PRASAD LAVANIA ADDRESS (ITR) 3, GURU RAM DAS NAGAR, NEAR ASOPA HOSPITAL GAILANA ROAD CITY AGRA PINCODE 282005 CONTACT DETAILS (ITR) 9719205820/2850049 EMAIL ID (ITR) [email protected] SALE OF GOODS (ITR) ## SALE OF SERVICES (ITR) 29287170 CODE DETAILS (ITR) 714 CODE DESCRIPTION (ITR) Service Sector [Others] VALUE FOR TDS in 194C 31437570 VALUE FOR TDS in 194 1a 0 VALUE FOR TDS in 194 1b 0 VALUE FOR TDS in 194J 0 VALUE FOR TDS in 194H 0 NAME (STR) LALWANI ELECTRICAL AND CONTRACTOR ADDRESS 14, SUKABH VIHAR, GAILANA ROAD AGRA PINCODE 282007 EMAIL ID (STR) [email protected] GROSS VALUE RECEIVED (STR) 0 GROSS VALUE PROVIDED (STR) 1453014 TOTAL GROSS VALUE PROVIDED (STR) 1453014 TOTAL SALE OF SERVICE (ITR) 29287170 TOTAL VALUE FOR TDS (including 194C, 194 1a, 194 1b, 194J, 194H) 31437570 VALUE DIFFERENCE in ITR and STR 27834156 VALUE DIFFERENCE in TDS and STR 3E+07 HIGHER VALUE (VALUE DIFFERENCE in ITR & STR) OR (VALUE DIFFERENCE in TDS and STR) 29984556 TYPE ZONE From the relied upon document, th....