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2015 (1) TMI 224 - CESTAT MUMBAIOn-line information and data base access or retrieval or both service - registration fee collected by the respondent was not declared in the ST-3 returns - Intention to evade tax - Suppression of facts - Held that:- Registration fee is refundable in nature and hence the respondents are not liable to pay Service Tax in respect of this amount. In respect of the time bar issue, the Commissioner (Appeals) held in favour of the respondents are regularly submitting ST-3 returns and were accepted and paid Service Tax regularly and the Revenue has not raised any objection. Respondents were paying Service Tax as provider of online information and data base access or retrieval or both. The respondents are not disputing the taxability of their service. The only issue is whether the registration fee charged from their clients are to be added to the value of taxable service on which the respondents are liable to pay Service Tax. The registration fee is not refundable as such. The registration fee will be adjusted to the first purchase made by the clients in case no purchase is made the registration fee is not to be refunded. In view of this, the registration fee is not refundable as such, hence is required to be added to the gross value of taxable service on which the respondents are liable to pay Service Tax. - respondent has not disclosed this fact regarding collection of registration fee in the ST-3 returns. It is only during the scrutiny of records it was found that the registration fee is not added to the gross value of the taxable service. Hence the allegation of suppression with intent to evade tax is also sustainable. - Decided in favour of Revenue.
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