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2022 (5) TMI 426 - AT - Service TaxLevy of Service Tax - Goods Transport Agency Service - price per trip fixed with the transporter is less than Rs. 750/- per trip - eligibility for exemption from service tax under Notification No. 34/2004- ST dated 03.12.2004 - reverse charge mechanism - levy of penalty - invocation of extended period of limitation - HELD THAT:- On a plain reading of the notification, it is seen that what has been exempted is the gross amount charged on consignments transported in a goods carriage upto Rs. 1500/-. In the given case of the Appellant, the gross amount charged by the transporter per trip is Rs. 150/- which is clearly within the upper limit of exemption of Rs. 1500/. The said issue is no longer res integra in terms of the decision of the Tribunal in the case of CHHATTISGARH DISTILLERIES LTD. VERSUS COMMISSIONER OF C. EX., RAIPUR [2017 (11) TMI 344 - CESTAT NEW DELHI] where it was held that it appears that the exemption of Rs. 1500/- is available to “a” single transaction but when the transactions are consolidate with the same parties, the said exemption is not available on the subsequent vouchers. In the given case also though each trip cost has been determined as Rs.150/trip, however, the total invoice raised by the transporter is much higher for all the trips concerned. Thus, the order of the Ld. Commissioner (Appeals) is upheld and the appeal filed by the Appellant on merits, is rejected. Levy of penalty - HELD THAT:- Since the issue pertained to interpretation of the exemption notification, the powers under Section 80 of the Act is exercised to set aside the penalties as levied by the Commissioner (Appeals) under Section 78 of the Act. Extended period of limitation - HELD THAT:- The second Show Cause Notice was issued on 21/06/2013 invoking extended period of limitation - the said Show Cause Notice is barred by limitation. However as per the learned Departmental Representative, some portion of the demand is within the normal period of limitation and for the limited purposes to verify the same, the matter remanded to the Ld. Adjudicating authority. Appeal allowed by way of remand.
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