V. Indirect Tax Case laws:
1. M/s Air India Ltd. Vs. Commissioner Adjudication, CEAC 27/2013 & CM No. 7071/2013 (stay), Date: 03.05.2013, High Court of Delhi
Decision : In favor of assessee
Assessment Year : 2006- 07
Cases referred : Tribunal in ST/S431/2010/ in ST Appeal No. 265/2010 in the case of National Aviation Co. of India v. CCE.
Whether the requirement of pre-deposit can be waived off due to financial hardship to the assessee?
Held : Yes
In
the instant case, the assessee engaged in the aviation business wholly
owned by the government. The Commissioner of Service Tax confirmed the
service tax demand of Rs. 65.49 crores . Out of which on prima facie
view the tribunal upheld the service tax demand of Rs. 15.53 crores.
The CESTAT considering the financial hardships of the assessee allowed
him to pay Rs. 8 crores as pre-deposit within a period of 8 weeks.
On
appeal before The Hon’ble High Court for full waiver of pre-deposit.
The Court observed that the assessee is facing financial difficulties
considering that the court waived off entire pre-deposit liability and
allowed the appellant to appear before the Tribunal without payment of
pre-deposit.
(Please click here for judgment)
2. Pooja Marketing Agencies Vs. Commissioner of Customs & Central Excise, Appeal No. ST/609 of 2009, Date: 03.07.2012 (Bangalore - CESTAT)
The
assessee was providing various services to his client like -
Procurement of purchase orders for various products of client,
maintenance of effective follow-up and undertaking of any promotional/
marketing activities in respect of client's brands. The assessee
contended that these are Business Support Services and not the Business
Auxiliary Services as contended by the department. The Commissioner
raised the demand of Service Tax.
On
perusal the CESTAT held, the services provided are squarely within the
ambit of the definition of “Business Auxiliary Services” and appellant
is liable to pay the service tax.
(Please click here for judgment)
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