2008 (10) TMI 163 - AT - Service Tax

Air travel agent service - demand of service tax on the overriding commission received by the appellants - this Bench disposed of similar cases earlier in the case of M/s. ETA Travel Agency Pvt. Ltd. and M/s. Translanka Air Travels Pvt. Ltd. and that the Hon ble High Court has stayed the operation of both the final orders in appeals filed by the said parties - In view of the High Court s stay orders, the present appellants are entitled to claim prima facie case against the demand of service tax and the penalties.

Summary

The judgment by Appellate Tribunal CESTAT CHENNAI involved a challenge against a service tax demand of over Rs. 17 lakhs on 'overriding commission' received by the appellants from M/s. Thai Airways International. The penalties imposed under Sections 76, 77, and 78 of the Finance Act, 1994 were also contested. The Tribunal granted waiver and stay in favor of the appellants based on the High Court's stay orders in similar cases.