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2017 (6) TMI 57 - AT - Service TaxValidity of SCN - non-speaking order - classification of services rendered by appellant - it was contended that the SCN did not specify the correct classification of services and the demand was vague and therefore not legal and proper - Revenue was of the view that that copies of statement showing the payment details by various units of NLC to the concerned assessees had been annexed to the SCN. In the circumstances, the assessees cannot contend that they were not aware of the reasons for demand of service tax - Regarding non-mentioning of the services provided by the assessees on which service tax had been demanded, it is argued that the assessees were very well aware of the services in which they were involved and hence this cannot be taken as an excuse - extended period of limitation. Held that: - None of the SCNs indicate the reasoning for proposing tax liability, the services alleged to have been provided by the assessee and the individual liability of each of such service. Nor is there any worksheet forming part of the notice or as an annexure. Sadly, all these notices merely refer to the amount received by the assessees from NLC for the dispute period and have thereupon directly proceeded to calculate the service tax liability thereon on the basis of whole order - As it is practically not feasible to adhere to the normal procedure of issuing summons, collecting agreement copies and recording statements, considering the volume of work, show cause notices were issued to the contractors based on the data received from M/s. NLC indicating the service provided as the service for which they had registered themselves or the service as deduced from the data received from M/s. NLC. The entire process of issue of show cause notices was done in a very hasty and slipshod manner without giving any raison detre for demanding service tax on the various activities deduced by department to have been provided by the respondents/assessees - The show cause notices do not also indicate the list of the activities provided by the department, or justify all these activities fall within the ambit of taxable services for the purposes of the Finance Act, 1994 or indicate specifically the separate tax liabilities demanded on each such individual taxable service. Such short comings and deficiencies in the show cause notices are uncurable defects which will inevitably cast a shadow on the proceedings that have emanated from it - the demands of tax that may have been resultant of these proceedings will fail, ab initio. The Hon’ble CESTAT in the case of Hi-Cons Building Products Vs. Commr. Of C.Ex. & Cus.&S.T., Cochin [2011 (1) TMI 714 - CESTAT, BANGALORE] has held that Since the adjudication order is silent on the exact services rendered by the assessee, we consider it fit to set aside the impugned order. Any infirmity in the SCN cannot be bridged by adjudication proceedings and order passed by the adjudicating authority and first appellate authority. All the appeals filed by the department do not have any merit - appeal dismissed - decided against Revenue.
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