2008 (7) TMI 140 - AT - Service Tax

Applicant is a CA and demand is confirmed on the ground that applicant is providing service of BAS to the banks - contention is that during the period 2003 to 2006 the CAs were only liable to service tax in respect of the service accounts, audit & certification & thereafter the applicants started paying service tax on this activity also - as the applicant being a CA also evaluating the customers, therefore, prima facie, the applicant had a strong case in their favour - Stay petition is allowed.

Summary

The Appellate Tribunal CESTAT NEW DELHI granted waiver of pre-deposit of service tax and penalties to a CA providing business auxiliary service to banks. The applicant's contention that they were only liable for service tax on accounts, audit, and certification services until 2006 was considered strong. Stay petition was allowed.