2016 (9) TMI 94 - AT - Service Tax

Stay application demand of tax, interest and penalty works contract service construction service rendered to PHED outside the scope of commerce and industry abatement Held that - the building constructed for Jaipur Development authority would not fall outside the scope of being meant for commerce or industry pre-deposit of 10% of demand to be paid for maintainability of appeal - recovery of the remaining adjudicated liability is stayed during pendency of the appeal matter disposed off.

Summary

The Appellate Tribunal CESTAT NEW DELHI considered a stay application against a service tax demand of Rs. 1,10,25,578 confirmed for works contract service. The appellant argued that the service was not for commerce or industry, citing a relevant case. The tribunal found merit in the appellant's argument and ordered a pre-deposit of 10% of the demand within eight weeks to stay recovery of the remaining liability during the appeal. Compliance was to be reported by 10.10.2016.