2011 (4) TMI 928 - AT - Service Tax

Stay of realization of service tax - assessee failed to submit particulars before the authority for which demand arose - Held that - The demand aforesaid is very small and the litigation may come to an end upon reconciliation of the figures. Therefore, the appellant is directed to furnish all particulars to the adjudication authority by 15th May, 2011 with an application to fix the hearing for affording them an opportunity of hearing and to lead their defence - appeal disposed of by way of remand.

Summary

Issues:
1. Stay application for service tax demand
2. Failure to submit necessary particulars leading to demand
3. Reconciliation of payment particulars
4. Tribunal's direction to furnish all particulars
5. Disposal of stay application and appeal

Analysis:

Stay Application for Service Tax Demand:
The appellant, BSNL, filed an appeal along with a stay application concerning the realization of a service tax demand amounting to Rs.2,61,533. The issue arose due to alleged short payment, as the necessary particulars were not furnished. The appellant sought relief based on a previous Tribunal decision and requested reconciliation of payment particulars to address the demand.

Failure to Submit Necessary Particulars Leading to Demand:
The Tribunal observed that BSNL had failed to provide the required particulars to the authority, resulting in the emergence of the aforementioned demand. Highlighting a pattern of similar appeals by BSNL facing difficulties due to non-compliance with proper procedures, the Tribunal emphasized the importance of submitting all particulars to avoid prolonging the litigation unnecessarily.

Reconciliation of Payment Particulars:
Considering the small amount of the demand and the potential for resolution through reconciliation of figures, the Tribunal directed BSNL to furnish all particulars to the adjudication authority by a specified date. The Tribunal stressed the significance of applying the law correctly and following Tribunal decisions to expedite the resolution of the matter without unnecessary delays or repetitions.

Tribunal's Direction to Furnish All Particulars:
The Tribunal instructed BSNL to submit the required particulars by a specified deadline and apply for a hearing to present their defense. Upon receiving the application, the adjudication authority was directed to schedule a hearing, provide a reasonable opportunity for BSNL to present their case, and issue an appropriate order in accordance with the law.

Disposal of Stay Application and Appeal:
Ultimately, the Tribunal disposed of both the stay application and the appeal by remanding the matter, indicating that the resolution of the case would depend on BSNL's compliance with providing the necessary particulars and the adjudication authority's application of the law guided by Tribunal decisions. The Tribunal aimed to bring the litigation to a conclusion without unnecessary repetition, emphasizing the importance of proper compliance and adherence to legal procedures for a swift resolution.