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2014 (9) TMI 343 - HC - Service TaxWaiver of pre-deposit - tribunal directed the petitioner to make the total pre-deposit of ₹ 2.5 crores (Rs. 67 lakhs + ₹ 183 lakhs) - Valuation - construction services - CESTAT took note of the fact if abatement as provided under Notification 18/2005-S.T., dated 7-6-2005 and Notification 1/2006-S.T., dated 1-3-2006, is allowed, the taxable value of service net of value of input services works out to ₹ 61.38 crores (33% of ₹ 186 crores), as against which, the petitioner claims that the value of service (inclusive of value of input service) is only ₹ 35 crores and the genesis of the dispute is the difference of ₹ 26.38 crores. Held that:- CESTAT, while passing the impugned order of pre-deposit, considered all the facts and figures in proper perspective and also took into account, the prima facie case, undue hardship, balance of convenience and the financial burden of the petitioner and observed that the case of the petitioner is a matter of expediency and it was of the prima facie view that the Service Tax authorities have every right to look into the issue as to whether the value has been correctly split and also observed that the lower authority has not looked into the same at any stage, because adequate documents other than payment of VAT have not been placed before the lower authority, as the issue had been argued more on question of law, rather than question of fact before the lower authority and it has also been highlighted before the CESTAT for stay and ultimately, the CESTAT passed the impugned order of pre-deposit. As far as the amount of pre-deposit ordered by the first respondent-CESTAT at ₹ 67 lakhs in respect, of Meadows Project is concerned, the same is accepted by the petitioner - As far as the pre-deposit of ₹ 183 lakhs in respect of Pacifica Project is concerned, the same is interfered with by this Court to the extent of depositing only 75% of ₹ 183 lakhs. - Partial relief granted to assessee regarding pre-deposit.
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