2013 (12) TMI 566 - AT - Service Tax

Rectification of mistake - Assessee deposited partial tax - While order recorded that assessee directed full tax - Held that - while passing the stay order on 9.8.12, we had considered a letter written by the appellant dated 8.8.12 wherein it was stated that they had paid the entire amount of the service tax. It turns out that the appellant had not paid the entire amount of the service tax but an amount of Rs.27,907/- remains to be unpaid by him on the ground that this is an amount of service tax on the exempted value of laying of cable along the road side. At this juncture, we find that our order dated 9.8.12 has been passed based upon the letter written by the assessee and since the assessee himself is claiming that they have not paid the amount - Decided against assessee.

Summary

Issues: Rectification of mistake in stay order regarding service tax payment

Analysis:
The Appellate Tribunal CESTAT Ahmedabad addressed the issue of rectification of a mistake in a stay order concerning the payment of service tax by the appellant. The tribunal noted that the appellant had not deposited the entire service tax payable, contrary to what was recorded in the stay order. The tribunal considered a letter from the appellant claiming full payment, but it was revealed that an amount of Rs.27,907 remained unpaid, attributed to service tax on the exempted value of laying cable along the road side. The tribunal acknowledged that the order was based on the appellant's representation of full payment, and in the interest of justice, directed the appellant to deposit the outstanding amount within eight weeks and report compliance. The Deputy Registrar was tasked with verifying compliance and initiating further action accordingly.

The tribunal allowed the application for rectification of the mistake in the stay order, emphasizing the importance of accurate payment of service tax as per the details provided by the appellant. The decision highlighted the need for transparency and adherence to tax payment obligations, ensuring that discrepancies are promptly addressed to maintain the integrity of the legal process. The directive for the appellant to fulfill the outstanding payment within a specified timeframe underscored the tribunal's commitment to upholding tax compliance standards and ensuring fair treatment in resolving such discrepancies. The detailed analysis provided insights into the tribunal's meticulous approach in rectifying errors and promoting accountability in tax-related matters, ultimately serving the interests of justice and regulatory compliance.