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Issues Involved:
Charging of interest for late payment of Service Tax. Analysis: The only issue in this case pertains to the charging of interest for late payment of Service Tax. The High Court of Gujarat, in response to a petition, provided clarification on the matter. The court highlighted that interim relief had been granted previously, restraining the respondent from implementing the provisions for levy of service tax without imposing any condition regarding interest payment. The court intended to protect the petitioners from adverse consequences due to delayed payment of service tax, specifying a deadline for payment. The principle of restitution was deemed applicable in this scenario. The provisions of section 75 were to be interpreted in light of the interim relief and final direction given by the court, ensuring that payment by the specified date would be considered as payment to the Central Government within the prescribed period. The Commissioner (Appeals) affirmed that since the Service Tax was paid by the specified deadline, the question of charging interest did not arise. The Commissioner's decision aligned with the High Court's directions and the legal position established. Consequently, the appeal filed by the Revenue was dismissed based on the Commissioner's ruling, which found no fault in the decision regarding the charging of interest for late payment of Service Tax.
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