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2015 (5) TMI 212 - AT - Service TaxStorage and Warehousing Service provided in relation to Gas / Liquid gas - Invocation of extended period of limitation - Imposition of penalty u/s 78 - Held that:- From the letter dtd 7.11.2011 of the Manager of the appellant company addressed to the Deputy Commissioner, Service Tax, it is found that on account of situational problem and commercial experience the appellant company are sharing the common expenses incurred for usage of storage tank to store HCN received 'from M/s RIL and. other expenses. "Storage and Warehousing Service" defined under Section 65(102) of Finance Act 1994 means Storage and Warehousing includes storage and Warehousing Services for goods including liquids and gases but does not include any service provided for storage of agricultural produce or any service provided by a cold storage, The taxable service of Storage, and Warehousing Service under Section 65(105)(zza) of Finance Act 1994 means any service provided or to be provided to any person, by storage or in relation to storage and warehousing of goods. It is evident from the definition that the Service Tax is leviable on Storage and Warehousing Service for goods including liquids and gases. On the demand of Service Tax for the extended period is to be set aside. We do not find any material in respect of suppression of fact with intent to evade payment of tax. It is contended by the Learned Advocate that the appellant is a State Government undertaking and entered into agreement for sharing the common expenses with M/s GACL. There is no gain on the part, of the appellant. In our considered view, the demand of tax for the extended period of limitation cannot be sustained. Similarly, imposition of penalty under Section 78 is not warranted. - demand of service tax for the extended period and imposition of penalty under Section 78 are set aside - Decided partly in favour of assessee.
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