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2014 (12) TMI 1006 - CESTAT BANGALOREWaiver of pre deposit - Supply of Tangible Goods service - Held that:- In this case, in the absence of any evidence to show that wagons were used for transportation of goods of other clients also, it cannot be said that there is an element of supply of wagons to the railways. The wagons are exclusively used for transporting the appellant’s goods and because the appellants have invested in the wagons they get a discount in the transportation. The transaction is similar to the case where a person may supply a crane to the service provider who mines ores for him and thereafter get some discount in the cost of mining. Can it be said that discount amount has to be treated as consideration for providing the crane. In fact it would be the additional consideration flowing from the receiver of service to the provider of service in the form of depreciation and interest element on the crane and it cannot be said that it amounts to SOTG Service. We are not convinced at this stage that revenue has been able to make out a case for levy of service tax under SOTG service against the appellant. Accordingly, the requirement of predeposit is waived and stay against recovery is granted for a period of 180 days from the date of this order - Stay granted.
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