2014 (3) TMI 75 - AT - Service Tax

Waiver of pre deposit - Demand of service tax - Previous order passed for pre deposit - Held that - Since assessee made excess deposit of the amount ordered - Stay granted.

Summary

Issues: Compliance with pre-deposit order, claim of payment, financial hardship plea, documentary evidence, subsequent application for payment

In the judgment delivered by the Appellate Tribunal CESTAT BANGALORE, the issue primarily revolved around the compliance with a pre-deposit order issued to the appellant. The appellant was directed to pre-deposit Rs. 90 lakhs within a specified time frame, which was later extended upon a special request. The Tribunal had previously rejected the appellant's claim of having paid Rs. 81.67 lakhs due to lack of evidence. However, in the current application, the appellant reiterated this claim, supported by the Deputy Commissioner's confirmation of payment amounting to Rs. 81,85,374 based on a report from the Commissioner's office. Consequently, the Tribunal accepted the claim at this stage, leading to a total deposit exceeding the pre-deposit amount mandated by the Tribunal.

Moreover, the appellant had pleaded financial hardships and offered to pay an additional Rs. 20 lakhs, although lacking documentary evidence for this amount. Upon further review, it was discovered that a subsequent application was filed by the appellant, asserting payment of Rs. 10,00,000, supported by a relevant challan. The Deputy Commissioner also acknowledged this payment. As a result, the total deposit surpassed the required pre-deposit amount, leading the Tribunal to record due compliance with the stay order and dispose of the miscellaneous application.

Despite the absence of appellant representation during the proceedings, the Tribunal was compelled to acknowledge the compliance with the pre-deposit order based on the evidence presented, ultimately concluding the matter in accordance with the orders issued.