2014 (2) TMI 478 - AT - Service Tax

Waiver of pre-deposit of tax - Interest under Section 75 - Penalties under Section 76, 77 & 78 - Man-power Recruitment or Supply Agency Service - Held that - Assessee already deposited partial amount - Therefore assessee directed to make remaining deposit - Decided against assessee.

Summary

Issues:
Application for waiver of pre-deposit of tax, interest, and penalties under Sections 73(1), 75, 76, 77 & 78 of the Finance Act, 1994.

Analysis:

1. Background:
The applicant sought waiver of pre-deposit of tax amounting to Rs.1,64,07,755/- along with interest and penalties imposed under various sections of the Finance Act, 1994, related to 'Man-power Recruitment or Supply Agency Service'. The applicant had collected the tax amount from customers.

2. Applicant's Submission:
The applicant had already deposited Rs.1,21,49,308/- but requested time to pay the balance amount of Rs.42,58,347/- due to financial constraints.

3. Revenue's Verification:
The Revenue's representative confirmed that the applicant had deposited Rs.1,16,99,309/-, leaving a balance to be paid.

4. Tribunal's Decision:
After hearing both parties and examining the records, the Tribunal directed the applicant to pay the balance tax amount of Rs.42,58,347/- along with an additional sum of Rs.4,50,000/-, totaling Rs.47,08,347/- within eight weeks. Upon this payment, the outstanding dues would be waived, and recovery stayed during the appeal process.

5. Extension Request:
The applicant requested a 15-week extension to make the payment. The Tribunal allowed a 12-week period for the full payment, with compliance to be reported by a specified date.

6. Conclusion:
The Tribunal disposed of both the miscellaneous and stay applications after considering the submissions and directing the applicant to fulfill the payment terms within the stipulated timeline. The judgment was dictated and pronounced in open court.

This detailed analysis covers the issues raised in the judgment, the submissions made by the parties, the Tribunal's decision, and the subsequent directives regarding the payment schedule and compliance reporting.