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TMI Blog2018 (8) TMI 1595X X X X Extracts X X X X X X X X Extracts X X X X ..... emitted to foreign service provider on the ground of non-payment of pre-deposit is being challenged in this appeal. 2. Factual backdrop of the case, bereft of unnecessary discussion, goes to indicate that the appellant had made short-payment of service tax on reverse charge against service received from professional consultancy and it had not paid proportionate service tax under partial reverse charge mechanism for availing manpower supply services and the same fact been pointed out by audit team of the range office. They had then discharged the tax liability along with interest after which show cause was issued alleging suppression etc and demanding penalty on service tax. The demand was confirmed by the adjudicating authority as it was p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ore no regularity can be found in the order of the Commissioner (Appeals) invoking jurisdiction of the Appellate Tribunal. 5. Heard from both the sides at length and perused the case record. Admittedly the appellant has made prompt payment of duty and interest after being brought to its knowledge by the audit report and it has not challenged the same before the adjudicating authority or Commissioner (Appeals) despite the fact that partial reverse charge mechanism for manpower service has been introduced and implemented with a different philosophy, that itself would justify the intention of the appellant in avoiding litigation over imposition of tax, as suggested by the tax authority without disputing its legality. At this juncture, it is i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y service provider. Notification 33/12-ST dated 30.06.2012 indicates that if the turnover of the service provider is less than 10 lakhs, the service recipient shall be obliged to pay his share of service tax (of the service provider also) under the partial reverse charge mechanism. There is no denial of the fact that the idea behind introduction of this procedure was to bring unorganized sector on record so that the proper books of account are maintained by them, even though they are not aware about the various statutory liability cast on them and the same will remove the difficulty of the Government in tracing out the service provider who are liable to pay service tax. But as commented by Ms. S. Sharma in her article on Reverse Charge Mech ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e cannot be done at this end as Section 35B (b) empowers this Court to admit appeal against an order passed by the Commissioner (Appeals) under Section 35A and Section 35A sub-Section (4) makes it obligatory for the Commissioner (Appeals) to state the points for determination, the decision thereon and the reason for the decision, which is found absent in his order of dismissal. In other words, in case of non-payment of pre-deposit, appeal should not have been admitted or else rejected but dismissal of appeal without consideration of its merit requires re-adjudication since predeposit of 10% of penalty amount has already been paid at this end. Hence the order - ORDER The appeal is allowed and the order passed by the Commissioner (Appeals) ..... X X X X Extracts X X X X X X X X Extracts X X X X
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