2010 (6) TMI 158 - AT - Service Tax

Excess payment of service tax - Suo motu adjustment Held that - a series of decisions including two cases relied upon by the lower appellate authority namely Nirma Architects & Valuers Vs CCE Ghaziabad 2006 -TMI - 289 - CESTAT - New Delhi and Prachar Communications Ltd. Vs CCE Mumbai 2006 -TMI - 637 - Appellate Tribunal, Mumbai , adjustment carried out by the assessees has been accepted by the Tribunal. Even if the Revenue is correct in their contention that a strict interpretation of the rule would disentitle the assessees to make any adjustment suo motu, the Tribunal has consistently held that liberal view of the rule or liberal interpretation of the rule has to be taken/made

Summary

The appellate tribunal upheld the adjustment of excess service tax payment made for services rendered to SEZ towards subsequent service tax payment. The tribunal cited previous decisions supporting such adjustments, emphasizing a liberal interpretation of the rule. The appeal was rejected.