2019 (12) TMI 727 - HC - Service Tax

Permission for withdrawal of appeal - VCES Application - appellant providing Business Auxillary Services like purchase and sale of SIM Cards, bucks and recharge coupon - HELD THAT - Appeal dismissed as withdrawn with liberty, as prayed for.

Summary

Issues: Appeal against demand of service tax under Voluntary Compliance Encouragement Scheme, rejection of VCES application, dismissal of appeals by various authorities, quashing of Final Appellate Order, permission to withdraw appeal for Amnesty Scheme.

Analysis:
1. The appellant, a proprietorship concern registered as a Service Provider with the Service Tax Department, was a distributor of a telecom company providing "Business Auxiliary Services." The appellant filed a declaration under the Voluntary Compliance Encouragement Scheme for service tax liability of ?8,77,082 up to 31.12.2012. However, the declaration was rejected for being filed after the due date of 31.12.2013. Subsequently, a show cause notice was issued for the demand of service tax, interest, and penalty for the period April 2008 to December 2012. The Central Excise & Service Tax Commissionerate demanded the service tax along with interest and imposed a penalty.

2. Aggrieved by the Order-in-Original dated 31.05.2016, the appellant filed an appeal before the Commissioner of Central Excise Appeals-II, Delhi, which was dismissed, affirming the original order. Further, an appeal was filed before the Customs, Excise and Service Tax Appellate Tribunal, Chandigarh, which also affirmed the demand in question along with interest and penalty. The present appeal sought to quash the Final Appellate Order dated 29.06.2017.

3. During the hearing, the appellant's counsel requested permission to withdraw the present appeal to avail the benefit of an Amnesty Scheme introduced by the Ministry of Finance on 01.09.2019. The request was granted, and the appeal was dismissed as withdrawn with liberty as prayed for.