2010 (9) TMI 326 - HC - Service Tax

Interest delay in payment of duty - delay in transfer of one account to another - after the receipt of money from the customer service tax was deposited in yet another account of the Government - Judgment rendered earlier by this Court squarely applies to the facts of this case and rightly the Tribunal set aside the liability to pay interest on the service tax - appeal is dismissed

Summary

The Karnataka High Court dismissed an appeal challenging the order passed by the Tribunal regarding the liability of interest payable by BSNL for belated payment of service tax. The Tribunal set aside the liability based on a previous judgment between the same parties where the delay was not attributable to the assessee. The Court upheld the Tribunal's decision, stating that no case for interference was made out.