2009 (5) TMI 96 - AT - Service Tax

Service tax under category of Tour Operators - The appellants collected certain amount from the clients for the purposes of Srilankan Holiday Tour. The tour is actually organized by an operator in Srilanka. Out of the amount collected from the various tourists, major portion is utilized for the air fare and expenses towards the said tour in Srilanka. Only a small portion is given to the appellants as commission. - Appellant had already discharged the service tax liability of Rs. 40,000/-. In our view, the appellants have prima facie case in their favour stay granted

Summary

The Appellate Tribunal CESTAT, Bangalore ruled in favor of the appellant in a service tax case related to Tour Operators for the period 2003 to 2006. The appellant was required to pre-deposit Rs. 79,613, but the tribunal waived the balance dues till the appeal's disposal as the appellant had already paid a sufficient amount. The tribunal found a prima facie case in favor of the appellant.