2008 (5) TMI 111 - AT - Service Tax

Appellants providing labour and transport to carry the goods - demand confirmed on the ground that applicant is providing cargo handling service contention of appellants that as per the definition of cargo handling service the mere transport of goods is excluded, is acceptable - 50% of the demand is in respect of transportation of the goods; therefore, the amount already deposited is sufficient for hearing of the appeal - pre-deposit of remaining amount of service tax and penalty is waived

Summary

The applicant filed for waiver of pre-deposit of service tax and penalties amounting to Rs. 6,45,651. The demand was confirmed for providing cargo handling service, but the Tribunal found that mere transport of goods is excluded from this definition. As 50% of the demand was for transportation charges, the amount already deposited was deemed sufficient, and the remaining pre-deposit was waived. Stay petition was allowed.