9911796707
TMI Blog2008 (1) TMI 253X X X X Extracts X X X X X X X X Extracts X X X X ..... s Services, for the periods 16-6-2005 to 01-3-2006 and 31-7-2003 to 31-3-2006 respectively, in adjudication of a show-cause notice dated 2-2-2007, by invoking the extended period of limitation under the proviso to Section 73(1) of the Finance Act, 1994. He has also appropriated an amount of Rs. 5 lakhs already paid by the assessee, towards the said demand. He has also imposed penalties totalling to over Rs. 1 crore on the assessee. The present application seeks waiver of pre-deposit and stay of recovery in respect of the balance amount of service tax as also in respect of the penalties. 2. After examining the records and hearing both sides, we note that the appellants were engaged in the activity of software verification & vali ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 81/2/2005-S.T., dated 7-10-2005 and, therefore, Service tax requires to be paid by the assessee from the said date in respect of the aforesaid activity of 'Technical Testing and Analysis' as defined under Section 65 (106) of the Finance Act, 1994. The case of the assessee is that, for the material to be "goods" it should have been made and readied for marketing as per the apex court's ruling, but, in the present case, the entire activity was performed prior to that stage and, therefore, it would not qualify for levy of service tax in the category of 'technical testing and analysis' under Section 65(106) (ibid). We have also examined the definition of the above service, which reads as under :- "(106) "technical testing and analysis" means ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... analysis service relating to computer software, learned counsel has also relied on CBEC's letter No. 334/1/2007- TRU dated 28-2-2007 containing a clarification on "management, maintenance or repair services". In that letter, it was noted that development of computer software continued to be not leviable to service tax being an Information Technology Service. It is argued by learned counsel that, if that be so, the subject services, which were in the nature of aiding development of computer software, should also be regarded as not leviable to service tax. 4. After giving careful consideration to the submissions, we have found prima facie case against the demand of service tax on "manpower recruitment or supply agency's service" ..... X X X X Extracts X X X X X X X X Extracts X X X X
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