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2019 (3) TMI 1755 - AT - Service TaxLevy of Service Tax - Port services - activity of stevedoring provided by the respondent - Department was of the view that the activity carried out by the Respondent will be liable to payment of Service Tax under port services - HELD THAT:- The issue stands decided by the Larger Bench of the Tribunal in the case of WESTERN AGENCIES PVT. LTD. VERSUS CCE [2011 (3) TMI 528 - CESTAT, CHENNAI (LB)]. The Larger Bench held that the activity will be covered within the ‘Port Service’. However, it has been pointed out before us that the controversy is far from finally settled. The Larger Bench’s decision stands stayed by the Hon’ble Madras High Court and several appeals on this issue are before the Hon’ble Supreme Court. Time limitation - HELD THAT:- The show cause notice has been issued on 13/10/2006 for the period 16/07/2001 to 31/03/2002. The extended period of limitation under Section 73 of Finance Act, 1994 has been cited by Revenue for making such demand. From the show cause notice, is seen that the respondent did not apply for registration soon after the introduction of the service; however, they applied for registration and commenced payment of service tax after the same was pointed out by Revenue during the enquiries - the respondent will be entitled to the bonafide belief, during the disputed period, that the activity carried out by them may not be covered within the definition of Port Service. Consequently, the Revenue will not be justified in pressing the demand under the extended period of limitation. Since no demand survives within the normal period of limitation, there are no justification to interfere with the impugned order - appeal dismissed - decided against Revenue.
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