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2018 (12) TMI 260 - AT - Service TaxSupply of Tangible Goods Services - non-payment of Service Tax - appellant had been collecting Service Tax from its customers since 2008, but had not deposited the same with the Government Exchequer - demand alongwith interest and penalty - extended period of limitation - Best Judgment method as prescribed under Section 72 of Finance Act, 1994 - Held that:- The Learned Commissioner while confirming the demand in respect of the service provided in J&K has held that the appellant has not been able provide the details, supported by documents whereas the said amounts were reflected in the Balance Sheets, perused by the department. The learned Commissioner has taken total receipts from 01.04.2008 to 31.03.2014 for calculating the Service Tax. Service Tax on Supply of Tangible Goods Service came w.e.f 16.05.2008 therefore receipts before 16.5.2008 were not taxable - Further first Show Cause Notice was issued on 21.10.2013, thus the demand for the period from 16.05.2008 to 20.10.2013 is held beyond the extended period of limitation. Further, it is admitted in the impugned order that the appellant was registered with the Department vide Service Tax Registration No. AACCD1501GST001 for providing “Supply of Tangible Goods Services”, therefore it cannot be alleged that the appellant had suppressed anything from the department. Best Judgement assessment - Held that:- It is admitted in the impugned order that the department obtained total receipt value for the preceding years from the appellant. There is no reason that the department could not get the actual receipts details for the year 2013-14 also - This Tribunal in the case of Shubham Electricals Vs Commissioner of C.Ex. & S.T., Rohatak [2015 (6) TMI 786 - CESTAT NEW DELHI] has held that a best judgment assessment should be based on material and data on record. It is not a tool in the hands of the Adjudicating Authority to punish the assessee. The estimation should be fair and reasonable, and not a wild guess work. The appellant has submitted all calculations of admitted tax liabilities, and deposit of Tax, duly certified by a Chartered Account with the appeal - the impugned order suffers from infirmities as explained and is not sustainable under the law. Appeal allowed.
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