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2014 (2) TMI 49 - CESTAT KOLKATAWaiver of pre-deposit of service tax - Penalty imposed u/s 78 - Storage and warehousing services - GTA Services - Held that:- Prima-facie applicants had rendered the services of storage and warehouses of the food grains. Accordingly, the service tax is leviable on the same. However, we find that as per Standard Storages terms and condition, the freight charges were ultimately to be borne by the consignee, namely, FCI and IFFCO, which is evident from the terms and condition of the said Standard Storage terms and conditions circulated by the Applicant. On reading the said condition, it is clear that the applicants are providing the services of storage and warehousing of essential items of food grains and supply the same to the other agencies viz. FCI, IFFCO etc., who support the public distribution system undertaken by the said agencies. As per Rule 2 (d)(v) of Service Tax Rules, 1994, the liability to pay service tax on GTA Service, rests on the person who is liable to pay the freight charges - liability rests on the consignee who are liable to pay the freight charges - Appellant directed to make pre deposit - Conditional stay granted.
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