2023 (7) TMI 53 - AT - Service Tax

Levy of Service tax - Intellectual Property Services - Demand in respect of excess Cenvat Credit - Coaching or Training Services. Demand towards Coaching or Training Services is to the extent of Rs.1,06,176/- - HELD THAT - In respect of the demand of Rs.1,06,176/-, the Appellant is not contesting the same. However, they maintain that one challan for amount of Rs.12,720/- was not considered while the proceedings were taken up for Hearing by both the Authorities. As per the Appellant, the demand should be confined to Rs.93,456/-. On specific query from the Bench as to whether the copy of this Challan is available for verification, the Learned Chartered Accountant submits that this Challan has been mis-placed and the same is not available nor the same has been enclosed along with Appeal Papers. In such a case, the Bench has no means to verify the veracity of this claim. Therefore, the Appeal to the extent of Rs.106,107/- stands dismissed. Demand of excess Cenvat Credit availed to the extent of Rs.194,600/- - HELD THAT - Since the Appellant is not contesting the same and agrees that due to clerical mistake the Cenvat Credit was taken twice, the Appeal on this count also stands dismissed. Coming to the prayer that they have to receive Rs.14,27,916/- from the Department, as to whether this amount is refundable to them or not is an issue totally different from the present proceedings. It is for the Appellant to file the refund claim along with supportive documentary evidence and it is for the Adjudicating Authority to consider as to whether the claim is eligible or not. Therefore, their prayer that this amount of 14,27,916/- is to be considered against the present confirmed demand is not legally sustainable. Appeal disposed off.

Summary

Issues involved:
The judgment involves issues related to Intellectual Property Right services, Commercial Training or Coaching Services, and excess Cenvat Credit availed by the Bureau of Indian Standards.

Intellectual Property Services:
The Adjudicating Authority confirmed demands for all three accounts, but the Commissioner (Appeals) dropped the demand for Intellectual Property Services. The Appellant appealed the confirmed demand on Commercial Coaching or Training Services and excess Cenvat Credit.

Commercial Coaching or Training Services:
The demand for Coaching or Training Services was Rs.1,06,176, and for excess Cenvat Credit, it was Rs.1,94,600. The Appellant argued that they had overpaid Service Tax and requested to adjust the demand against the excess amount paid. The Adjudicating Authority confirmed the demand as the Appellant did not contest it. The Appeal on this count was dismissed.

Excess Cenvat Credit:
The Appellant did not contest the excess Cenvat Credit demand of Rs.194,600, acknowledging a clerical error. The Appeal on this count was also dismissed.

Refund Claim:
The Appellant claimed a refund of Rs.14,27,916 from the Department, arguing it should offset the confirmed demands. However, the Tribunal ruled that the refund issue was separate and needed to be pursued independently. The Appellant's prayer was rejected on this ground.

Decision and Conditions:
The Tribunal dismissed the Appeal, requiring the Appellant to deposit the demanded amounts with interest. A reduced penalty of 25% was imposed if the Service tax amount was paid within 30 days. Failure to pay would result in the full penalty being imposed.