Custom, Excise & Service Tax Tribunal
M/S. Regus Business Centre (Chennai) vs Commissioner Of Service Tax, Chennai Ii on 25 November, 2016
IN THE CUSTOMS, EXCISE & SERVICE TAX
APPELLATE TRIBUNAL
SOUTH ZONAL BENCH, CHENNAI
Appeal No. ST/40108/2016
(Arising out of Order-in-Appeal No. 265/2015 (STA-II) dated 15.10.2015 passed by the Commissioner of Service Tax (Appeals II), Chennai)
M/s. Regus Business Centre (Chennai)
Pvt. Ltd. Appellant
Vs.
Commissioner of Service Tax, Chennai II Respondent
Appearance None for the Appellant Shri K.P. Muralidharan, AC (AR) for the Respondent CORAM Honble Shri D.N. Panda, Judicial Member Date of Hearing / Decision: 25.11.2016 Final Order No. 42314 / 2016 None present for the appellant. There is an application by a Chartered Accountant Firm T.R. Chadha & Co. LLP stating that the authorized person is out of town and is not available for appearance today. The application is not recognized by law for the reason that neither there is the name of the authorized person nor he has signed the application. Therefore, that not being a proper application, that is rejected and appeal is taken up for disposal.
2. Para 3 of the appellate order shows that certain consultancy charge was paid to a firm abroad and there was a liability which arose under reverse charge mechanism. Service tax payable thereon was Rs.15,47,392/-. Belatedly, an amount of Rs.10,11,906/- was paid. The balance sheet for the year ending 2007 08 also disclosed that certain amount of service tax was not paid. In para 5 of the order, the appellant has submitted before the appellate Commissioner that an amount of Rs.5,35,486/- was deposited before issuance of the show cause notice. Further, learned Commissioner (Appeals) in para 10(ii) has recorded that Rs.5,35,486/- was deposited with interest of Rs.89,252/- on 9.7.2009 upon being pointed out by Revenue.
3. Deposit of the impugned amount of Rs.5,35,486/- having been made on 9.7.2009 and that is before issuance of show cause notice on 7.10.2010 and also considering the assessees contention that intention to cause evasion not being brought to record, the above said penalty is waived.
4. In the result, appeal is allowed to the extent of waiver of penalty.
(Dictated and pronounced in open court) (D.N. Panda) Judicial Member Rex 2