2017 (9) TMI 915 - AT - Service Tax

Commercial or Industrial construction Service - incorrect quantification - Held that - the lower authorities have not correctly verified the actual quantification of the demand despite the same was submitted before them. Therefore, correct quantification has to be arrived at by the adjudicating authority - appeal allowed by way of remand.

Summary

Issues:
Demand of service tax on Commercial or Industrial construction services for the period October 2004 to March 2008.

Analysis:
The judgment involves a dispute regarding the demand of service tax on Commercial or Industrial construction services for a specific period. The appellant contested the amount demanded by the authorities, claiming that they had already paid a different amount as service tax liability along with interest. The appellant's counsel argued that the quantification of service tax in the original order was incorrect and that the correct liability had been discharged. The appellant submitted details of the correct quantification of the demand, which were not considered by the lower authorities, rendering the impugned order unsustainable.

The Assistant Commissioner representing the Revenue reiterated the findings of the impugned order, opposing the appellant's contentions. However, upon careful consideration of the submissions from both sides and a review of the records, the Tribunal found merit in the appellant's arguments. The Tribunal observed that the lower authorities had not accurately verified the actual quantification of the demand, despite the details being submitted. Consequently, the Tribunal directed the appellant to produce all relevant records and explanations regarding the correct quantification of the demand before the adjudicating authority. The adjudicating authority was instructed to consider the submissions and pass a denovo adjudication order after hearing the appellant, with other issues being kept open for further review.

In conclusion, the appeal was allowed by way of remand to the adjudicating authority, emphasizing the need for a correct quantification of the service tax demand on Commercial or Industrial construction services for the specified period. The judgment highlighted the importance of accurate verification and consideration of all relevant details in tax-related disputes to ensure a fair and just resolution.