2010 (11) TMI 642 - AT - Service Tax

Demand, interest and penalty - Taxability - laying of cables under or alongside the road - As such the Board s Circular No. 123/5/2010-TRU clarified that laying cables under or alongside the road is not a taxable service - Therefore, set aside the impugned orders after waiving the requirement of pre-deposit and remand the matter to the original authority for fresh decision in the light of the Board s circular - Appeals are allowed by way of remand.

Summary

The Appellate Tribunal CESTAT, New Delhi heard the case where laying of cables was considered a taxable service. The appellant's advocate argued that a subsequent clarification stated that laying cables under or alongside the road is not taxable. The tribunal set aside the orders, waived the pre-deposit requirement, and remanded the matter for a fresh decision in light of the Board's circular. Appellants will have a hearing before a new decision is made. Stay petitions were disposed of, and appeals were allowed for remand.