2008 (10) TMI 137 - AT - Service Tax

When appeal was filed within the limitation period but due to certain defects the same was returned to the appellants and it was again filed after removing the defects, delay in filing the appeal should be condoned - applicants is a co-operative society formed for the welfare of the ex-servicemen - Contention of the applicants that they are not a commercial concern, therefore, they are not liable for service tax on Security service provided by them, is acceptable stay granted

Summary

Issues:
1. Condonation of delay in filing the appeal.
2. Waiver of pre-deposit of penalties for a cooperative society providing security services.

Condonation of Delay:
The applicants filed an application for condonation of delay in filing the appeal, which was initially returned due to defects. They cited a previous Tribunal decision where delay was condoned in a similar situation. The Tribunal noted that the appeal was filed within the limitation period but returned due to defects. Considering this, the delay in filing the appeal was condoned.

Waiver of Pre-deposit for Cooperative Society:
The applicants, a cooperative society for ex-servicemen, sought waiver of pre-deposit of penalties, arguing that as a non-commercial concern, they are not liable for service tax under the Finance Act. They referenced earlier Tribunal stay orders in favor of cooperative societies. The Tribunal acknowledged the cooperative nature of the society and previous decisions granting waiver to such societies on the grounds of not being commercial concerns. Consequently, the pre-deposit of service tax penalties was waived, and the stay petition was allowed.

Listing for Hearing:
Both parties noted that an appeal involving the same issue was scheduled for hearing on a specific date. Accordingly, the Registry was directed to list the present appeal for hearing on the same date to ensure coherence in addressing the related matters.