TMI Blog2022 (6) TMI 1261X X X X Extracts X X X X X X X X Extracts X X X X ..... pellant are directed to calculate the service tax payable under the Rules and file a calculation sheet before the assessing officer. If any amount is still payable by them they shall pay the same. It is further held that under such circumstances no interest is payable. Penalties imposed are set aside. Appeal allowed - decided in favor of appellant. - SERVICE TAX APPEAL No. 52286 of 2021 - FINAL ORDER No. 50530/2022 - Dated:- 16-6-2022 - MR. ANIL CHOUDHARY, MEMBER (JUDICIAL) Mr. Mahul Khandelwal Mr. Pulkit Khandelwal, Advocates for the appellant Ms. Tamanna Alam, Authorized Representative for the Respondent ORDER Heard the parties. The issue involved is whether by the impugned order Revenue have computed the corre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee is unable to maintain proper accounts, he has to pay service tax only on the 40% of the gross amount, and 60% abates for the material component. 3. It is evident from para 4.1 to 4.4 of the Order-in-Original that admittedly, the appellant erroneously did not claim the abatement for material component and have paid service tax on 100% of the gross value during the Financial Years 2013-14 and 2014-15. Similarly, for the Financial Year 2015-16 (first half year) appellant again paid the tax on full gross value without availing abatement. Thus, on the gross turn-over of Rs.29,74,999/-, they paid service tax at the appropriate rate 12.36 % / 14% or Rs.3,52,548/-. 4. Thereafter, the appellant states that he was disturbed with his medic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... culating the service tax liability on 100% of the turn-over under works contract service is illegal and irresponsible in view of the mandate of law and more fully mentioned in Notification No.24/2012-ST read with section 65(105)(zzzza) which provides for taxation to service tax only the proportion of service involved in works contract. Accordingly, I allow this appeal and set aside the impugned order(s). 11. I further, direct the appellant to calculate the service tax payable under the Rules and file a calculation sheet before the assessing officer. If any amount is still payable by them they shall pay the same. I further hold that under such circumstances no interest is payable. Penalties imposed are set aside and Appeal is allowed. ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
