2006 (6) TMI 542 - AT - Service Tax

Summary

The Appellate Tribunal (CESTAT, New Delhi) heard the revenue's appeal challenging the Commissioner (Appeals)'s order that dropped the demand for differential Service Tax from a cable operator respondent. The respondent admitted charging Rs. 135 per month per connection (including Rs. 10 entertainment tax) and paying Service Tax accordingly under section 63 of the Finance Act. The revenue alleged, based on enquiries, that the respondent charged Rs. 150 per month and sought differential tax on that basis. The Commissioner (Appeals) found no evidence supporting the Rs. 150 charge. The Tribunal upheld this, stating: "there is no evidence on record produced by the revenue which shows that respondents were charging @ Rs. 150 P.M." The Tribunal clarified that if Service Tax is not paid on Rs. 135 monthly charges, revenue may recover the amount. The appeal was dismissed for lack of merit.