2008 (12) TMI 70 - AT - Service Tax

Whether the services rendered by the Registered Society would fall under the category of commercial training or coaching - Bangalore Bench of the Tribunal in their own case allowed the appeal - in impugned order passed by the Commissioner (Appeals), appeal was dismissed for non-compliance of the stay order without going into merits - prima facie, case for waiver of pre-deposit - matter is remanded back to the Commissioner (Appeals) to decide the case on merit without insisting any pre-deposit

Summary

Issues: Stay order compliance, waiver of pre-deposit, remand for fresh decision on merit.

Analysis:
1. The Tribunal had earlier directed the appellant to deposit a specific amount within a set timeframe to waive the penalty and allow the appeal to be heard on merits. However, a subsequent order from the High Court set aside the Tribunal's decision and remanded the matter for a fresh hearing based on the High Court's observations. The issue at hand was whether the services provided by the Registered Society fell under the category of "commercial training or coaching," a matter that had been addressed favorably in a previous decision by the Bangalore Bench of the Tribunal.

2. Upon reviewing the order passed by the Commissioner (Appeals), it was noted that the appeal had been dismissed due to non-compliance with the stay order requirements under Section 35F of the Central Excise Act, 1944. The Tribunal found that the issue had already been addressed in the appellant's favor in a previous decision dated 17-10-2008. Consequently, the Tribunal concluded that the appellant had established a prima facie case for the waiver of pre-deposit of tax and penalties, as the Commissioner (Appeals) had not delved into the merits of the case.

3. Given the circumstances, the Tribunal decided to remand the matter back to the Commissioner (Appeals) for a fresh decision on merit without requiring any pre-deposit. The impugned order was set aside, and the appeal was allowed by way of remand. The stay application was also disposed of during the proceedings. The final decision was dictated and pronounced in open court on 1-12-2008.