TMI Blog2015 (2) TMI 785X X X X Extracts X X X X X X X X Extracts X X X X ..... nd other transactions. There is no dispute on the fact that overseas commission agent rendered service to both appellant's unit at Koratty and also to SEZ unit at Kakkanad. The appellants are liable to pay service tax under reverse charge only in respect of value of service of appellant unit. There is no legal provision to pay service tax on value of services pertaining to SEZ unit. Further ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f predeposit of tax of ₹ 3,07,965/- along with interest and penalty. 2. The brief facts of the case are that the adjudicating authority has confirmed the demand of duty ₹ 3,07,965/- being irregular availment of service tax credit and also imposed penalty of 50% of tax which has been upheld by the Commissioner (Appeals). Appellants are as a LTU having two units, one at Koratty, Trich ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ligible to distribute credit as service tax credit distributor to other units. He also submits that even if SEZ unit paid service tax they are eligible for refund. As there is revenue-neutral, there is no loss of Revenue. He relied on following decisions :- (i) V.G.Steel Industry Vs CCE 2011 (271) ELT 508 (P H) (ii) Sterlite Industries (I) Ltd. Vs CCE Tirunelveli 2012 (25) STR 66 (Tri.-Chenn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (Tri.-Bang.) (ii) CCE Ahmedabad Vs Cadila Healthcare Ltd. 2013 (30) STR 3 (Guj.) (iii) CCE Nagpur Vs Manikgarh Cement 2010 (20) STR 456 (Bom.) (iv) Oil Natural Gas Corporation Ltd. Vs CCE Raigad 2013 (31) STR 214 (Tri.-Mumbai) 4. On hearing the submissions of both sides, and on perusal of records, I find that the appellants have paid service tax under reverse charge relating to comm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated to Koratty unit. Therefore, prima facie , I find that the appellants have not made out a case for waiver of predeposit of entire dues. Accordingly, I order for predeposit of ₹ 1,53,000/- (Rupees One lakh fifty three thousand only) within a period of 4 weeks. Upon deposit of the said amount, predeposit of balance dues arising out of the impugned order shall stand waived and recovery ther ..... X X X X Extracts X X X X X X X X Extracts X X X X
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