2010 (9) TMI 633 - AT - Service Tax

Waive of predeposit and stay recovery - Finishing and completion services - The contracts entered into with their customers involved use of materials in addition to service as seen from the various work orders received from the customers and therefore even if the services rendered by the assessees were in the nature of finishing and completion services service tax cannot be levied on materials (goods)- Hence waive predeposit of the amounts in question and stay recovery thereof pending the appeal.

Summary

The Appellate Tribunal CESTAT, Chennai heard an application for waiver of predeposit of differential service tax amount and penalty. The demand was due to denial of benefit of Notification No. 15/2004-S.T. The assessees engaged in construction services made a strong prima facie case for waiver as their contracts involved use of materials in addition to service. The Tribunal waived the predeposit and stayed recovery pending appeal. (2010 (9) TMI 633 - CESTAT, CHENNAI)