2008 (9) TMI 243 - AT - Service Tax

Valuation - business auxiliary service - Applicants are running outlet owned by the companies known as company owned company operated - contention of applicants that service tax are already been paid contention that amounts which they are receiving as a reimbursement of the actual expenses cannot be considered as part of taxable value - in view of the earlier stay order, we direct the applicant to deposit the thirty percent of the demand, in addition to the amount already deposited stay partly granted

Summary

The Appellate Tribunal CESTAT NEW DELHI heard a case where the demand was confirmed for providing business auxiliary service. The applicants argued that the service tax had already been paid on the commission received. The Tribunal directed the applicants to deposit thirty percent of the demand within six weeks based on an earlier stay order, with the remaining amount of service tax and penalties waived upon compliance.