2012 (6) TMI 120 - AT - Service Tax

Plea for waiver of pre-deposit of service tax of Rs 17.46 lacs and penalty of equal amount u/s 78 - dismissal of appeal by Commissioner(Appeals) for non-compliance with its order of making pre-deposit of Rs 10 lacs - assessee offered to make pre-deposit of Rs.2.00 lakhs - Held that - Applicants are directed to deposit Rs 2 lacs and report compliance on stipulated date directly to Commissioner(Appeals). After waiving the requirement of pre-deposit of balance amount, it is held that since Commissioner(Appeals) has not decided the issues on merits. Therefore the case is remanded to Commissioner(Appeals) for deciding the issue on its merits without insisting for any further pre-deposit.

Summary

The applicant sought waiver of predeposit of Service Tax of Rs.17,46,065/- and penalty under Section 78 of the Finance Act, 1994. The appeal was remanded to the Commissioner (Appeals) for decision on merits without further deposit, with a direction to predeposit Rs.2.00 lakhs. Compliance was to be reported by 5th June, 2012.