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TMI Blog2023 (4) TMI 261X X X X Extracts X X X X X X X X Extracts X X X X ..... tion 73(1) of the Finance Act, 1994 and seeking benefit of Section 80 of the Act. 1.1 M/s. BSL Training Company Private Limited (hereinafter referred to as the assessee), is a private limited company which was incorporated on 23.01.2010 under the Companies Act, 1956. BSL began its operations in April 2010 and is carrying on the business in imparting education and training in general spoken English, business English for corporate communication, professional English (i.e., English for Engineers and MBA, etc.), foreign languages, call centre grooming, voice and accent, presentation skills, interview skills, group discussion, preparation test and entrance exams, etc. The assessee was carrying on the said business by operating franchisees of M/s British School of Language. The assessee had initially applied for centralised Service Tax registration under the category of commercial training and coaching service ("coaching service") on 09.10.2010 with the Service Tax Department, Division-II, Delhi. On enquiry from the Department, BSL was advised to re-submit the application at Service Tax Department, Division-I, Delhi as the correct jurisdiction fell within Division-I. 1.2 Meanwhile, vid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se, Indore [2013 (32) S.T.R. 379 (Tri.-Del)], and accordingly, set aside the demand to the extent of inclusion of value of study material in the taxable value of coaching service. The Commissioner (Appeals) further set aside the demand to the extent of Rs.3,00,000/- already paid by the appellant. The Commissioner (Appeals) allowed the benefit of Cenvat credit available to the assessee which was to be adjusted against the remaining demand. However, the Commissioner (Appeals) upheld the remaining demand and the imposition of penalty under Section 78 of the Finance Act on the ground that the assessee did not deposit Service tax so collected since it was aware of its tax liability, did not file ST- 3 returns, and did not provide any plausible explanation to seek benefit under Section 80 ibid. 2. Being aggrieved with the impugned order to the extent of invocation of extended period of limitation and imposition of penalty under Section 78, the assessee has filed the present Appeal No. Service Tax Appeal No. 53491 of 2015. Meanwhile, the Department also filed another appeal Service Tax Appeal No. 51704 of 2015 against impugned order to the extent of the tax demand relating to inclusion o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imposed when tax liability shown in balance sheet: * Commissioner of Central GST and Central Excise v. Tirupati Sarjan Limited, [2018 (18) GSTL 216 (Guj.)]; * Calderys India Refractories Ltd. v. C.C.E., Aurangabad, [2014 (36) S.T.R. 102 (Tri.- Mumbai)]; and * DCM Textiles v. Commissioner of Central Excise, Gurgaon, [2012 (26) S.T.R. 359 (Tri.-Del.)] 4. As regards the issue being agitated by the Department in the appeal No. ST/51704/2015 wherein value of study material is not includible in the taxable value of coaching service, the learned Counsel submitted that the aforesaid decision in Cerebral Learnings (supra) has been subsequently relied upon in the case of same assessee reported as Cerebral Learning Solutions Pvt. Ltd. v. Commissioner of Central Excise & Service Tax, Indore [2018 (10) GSTL 37 (Tri.-Del.)], , which has been affirmed by Supreme Court in the case of Commissioner of Central Excise & Service Tax, Indore v. Cerebral Learning Solutions Pvt. Ltd. [2022 (67) G.S.T.L. 4 (S.C.)]. 4.1 In the above decisions, the Tribunal held that the cost of study material is not includible in the taxable value of coaching service since the assessee is entitled to the benefit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... issue for decision is whether the respondent-assessee is entitled to the benefit of exemption notification No. 12/2003-ST dated 20.6.2003. In Appeal No. 53491/2015, the issue for decision is for setting aside the penalty under section 78 and extending the benefit of section 80 of the Finance Act. 10. As regards the issue of abatement of value for supply of material by a coaching centre, we find that this issue is no longer res integra and has been settled by precedent decisions: 1. M/s. Cerebral Learning Solutions Pvt. Ltd. vs. Commissioner [2013 (32) S.T.R. 379 (Tri. - Del.)] 2. M/s. Cerebral Learning Solutions Pvt. Ltd. vs. Commissioner [2018 (10) G.S.T.L. 37 (Tri. - Del.)] 3. Commissioner vs. M/s. Cerebral Learning Solutions Pvt. Ltd. [(2022) 1 Centax 7 (S.C.)] 4. M/s. Lakshya Education vs. Commissioner [2022 (11) TMI 598 - CESTAT NEW DELHI] 11. Therefore, we hold that the Commissioner (Appeals) was correct in extending the benefit of abatement available under Notification No. 12/2003-ST dated 20.6.2003 and accordingly, this appeal stands dismissed. 12. As regards the prayer in Appeal No. 53491/ 2015, we note that the attempts made by the assessee to get register ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a period of thirty days from the date of such commencement : Provided further that a person liable for paying the service tax in the case of taxable services referred to in sub-section (4) or sub-section (5) of section 66 of the Finance Act, 1994 (32 of 1994) may make an application for registration on or before the 31st day of December, 1998 : Provided also that a person liable for paying the service tax in the case of taxable services referred to in sub-clause (zzp) of clause (105) of section 65 of the Act may make an application for registration on or before the [31st day of March, 2005. Provided also that a person located in non taxable territory liable for paying the service tax in the case of online information and database access or retrieval services may make an application for registration in form ST-1A for registration within a period of thirty days from the date on which the service tax under section 66B of the Act is levied or the person located in non taxable territory has commenced supply of taxable services in the taxable territory in India and notwithstanding anything contrary in these rules, the registration shall be deemed to be granted in form ST-2A from t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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