2007 (12) TMI 150 - AT - Service Tax

Process of cutting of paper into sheets - period in dispute is 10-9-04 to 15-6-05 and during the period the production of goods on behalf of client is covered under the scope of service tax - In these circumstances as the applicants are undertaking the process on behalf of the client does not amount to manufacture - Prima facie it is not a fit case for total waiver of service tax stay partly granted

Summary

The Appellate Tribunal CESTAT, New Delhi heard a case regarding waiver of pre-deposit of service tax and penalties amounting to Rs. 1,10,905. The demand was confirmed due to production of goods on behalf of a client, which falls under the scope of service tax. The applicants were directed to deposit Rs. 55,000 within six weeks, with the remaining amount of service tax and penalties waived upon this deposit. Reporting compliance was set for 11-2-08.