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2021 (1) TMI 1172 - AT - Service TaxBusiness Auxiliary Service - transportation facilities to the employees of companies like M/s. Ford India Ltd., M/s. Satyam Infotech Ltd. - period from 1-10-2005 to June, 2006 - Time Limitation - HELD THAT:- The department does not dispute the payment of service tax on the very same activity after introduction of BSS. As rightly pointed out by the Ld. Counsel for the appellant, BSS is not a category carved out of BAS. It is an introduction of a new entry. Thus, when the appellant has been discharging their service tax liability under BSS after its introduction, the very same activity cannot be classified under BAS for the period prior to 1-5-2006. The view taken by the department that introduction of a specific entry is not absolving the appellant from the liability for the past period is not tenable since BSS is a new entry which was introduced w.e.f. 1-5-2006 only. In the case of SANA ENGINEERING COMPANY VERSUS COMMISSIONER OF CENTRAL EXCISE AND SERVICE TAX, COIMBATORE [2018 (9) TMI 1723 - CESTAT CHENNAI], it was held by the Tribunal that when a new category of activity is brought out under the service tax, the same can be taxed only with effect from the date on which the new service is brought under service tax net. Department cannot claim that the very same activity was taxable under an existing category. Time limitation - HELD THAT:- The demand cannot sustain on the ground of limitation also. The issue is purely interpretational in nature. Appellants have been paying service tax under BSS after its’ introduction in the Finance Act, 1994. This is accepted and admitted. There is no evidence to prove that appellants wilfully suppressed facts with intention to evade payment of service tax. The appellant succeeds on limitation also. Appeal allowed - decided in favor of appellant.
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