2015 (12) TMI 483 - AT - Service Tax

Waiver of pre deposit - Manpower supply services - Held that - Appellants are contractors and they undertook activities such as uploading, washing, stacking in godowns, cleaning of washing area, bottling area, blending area, godowns and surroundings as per the fixed schedule. Payments were fixed on the basis of number of cases only by the appellants and not on the basis of manpower supply. This being the stands taken by the Revenue, the appellants are liable to pay Service Tax on the ground that the appellants have provided manpower supply services, in our opinion, prima facie, cannot be sustained. Therefore, the appellants have made out prima facie case for waiver of pre-deposit. Accordingly, requirement of pre-deposit of the adjudged dues is waived and stay against recovery is granted for a period of 180 days from the date of this order. - Stay granted.

Summary

The Appellate Tribunal CESTAT Bangalore heard appeals regarding Service Tax on contractors providing services. The tribunal found that the contractors were not providing manpower supply services, so the requirement of pre-deposit of dues was waived and a stay against recovery was granted for 180 days.