2008 (6) TMI 70

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..... od Kumar, JDR, for the Respondent. [Order per: Jyoti Balasundaram, Vice-President]. - We have heard both sides on the application for waiver of pre-deposit of service tax of Rs. 1,27,72,893/-, and Rs. 25,36,437/- together with equal amount of penalty. The service tax demand has been confirmed on the ground hat the applicants are producing products containing alcohol which were covered under State .....

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..... l Excise Act, 1944 which prima facie would mean that it is only manufacture of goods liable to Central Excise duty which would stand excluded from the purview of Business Auxiliary Services. The next submission of the applicants that the goods produced by them attract sale tax and therefore cannot be treated as services to production of goods is a contentious issue and can be decided only at the t .....

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..... 0-9-2007 is prima facie payable in the light of our above finding on merits. 3. We therefore direct pre-deposit of service tax of Rs. 25 lakhs within a period of eight weeks from today and on such deposit, pre-deposit of balance service tax and penalty shall stand waived and recovery thereof stayed pending the appeal. 4. Failure to comply with this direction shall result in vacation of stay and .....

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