9911796707
TMI Blog2010 (2) TMI 311X X X X Extracts X X X X X X X X Extracts X X X X ..... cannot be converted into a notice of demand. - Besides, the extent of inquiry is to be judged by the authorities and not by the petitioner. After facts are gathered supported by materials, suspicion or impression is converted into reason to believe. Then the stage is set for issuance of show-cause notice which can be displaced by materials furnished by the petitioner. Notice is just, proper and valid. That apart, the petitioners cannot turn back and challenge the notice as the petitioners had submitted to the jurisdiction as they have understood its purport as evident from the letter dated 20th December, 2006 and had sought extension of time to submit the documents. - 79 of 2007 - - - Dated:- 19-2-2010 - Soumitra Pal, J. REPRESEN ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tated that the impugned notice is based on suspicion as it has been mentioned that the commercial activities may fall under category of BAS. Since the entire nature of commercial activities is known to the service tax authorities as apparent from the notice itself and from the returns filed, and since such commercial activities do not fall under the category of BAS, the documents sought for are not relevant. Moreover, the notice impugned is vague and thus the inquiry is fishing and roving in nature. 2. Learned senior advocate appearing on behalf of the petitioner relying on the statements in the writ petition submitted that since in the affidavit-in-opposition it has been stated that the authorities have reasons to believe that the petit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of which provided under Section 65(19) of the Finance Act, 1994 as Business Auxiliary Service means any service in relation to - (1) promotion or marketing or sale of goods produced for provided by or belonging to the client; or (ii) promotion or marketing of service provided by the client; or (iii) any customer care service provide on behalf of the client; or (iv) procurement of goods or services, which are inputs for the client; (v) production of goods on behalf of the client; or provision of service on behalf of the client; or a service incidental or auxiliary to any activity specified in sub-clauses (I) to (vi), such as billing, issue or collection or recovery of cheques, payments, maintenance of accounts and remittance, inventory man ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 11C, (xxx), 12)12A) 12B, 12C, 12D, 12E, 14, (14AA), (15,33A,35F) to 350 (both inclusive),35Q 36, 36A, 36B, 37A, 37B, 37C, 37D (38A) and 40. Section 14 of Central Excise Act is as follows:- 14. Power to summon persons to give evidence and produce documents in inquiries under this Act.- (1) Any Central Excise Officer duly empowered by the Central Government in this behalf shall have power to summon any person whose attendance he considers necessary either to give evidence or to produce a document or any other thing in any inquiry which such officer is making for any of the purposes of this Act. A summons to produce documents or other things may be for the production of certain specified documents or things or for the production of al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lation to Service Tax. Section 14 of the Central Excise Act empowers Any Central Excise Officer to summon any person whose attendance he considers necessary either to give evidence or to produce a document or any other thing in any inquiry which the officer is making for any of the purposes of the Act . Inquiry, in the instant case, is for the purpose whether the petitioner No. 1 is carrying on business of BAS. Evidently, for that purpose, authorities have issued the notice for the production of certain specified documents mentioned therein which is under the control of the person to whom, notice has been issued. Such notice cannot have been issued without any apprehension or reason. That apprehension or reason is suspicion. Suspicion ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... into reason to believe. Then the stage is set for issuance of show-cause notice which can be displaced by materials furnished by the petitioner. Therefore, for the reasons as aforesaid, the notice dated 1st December, 4th December, 2006 is just, proper and valid. That apart, the petitioners cannot turn back and challenge the notice as the petitioners had submitted to the jurisdiction as they have understood its purport as evident from the letter dated 20th December, 2006 and had sought extension of time to submit the documents. So far as the judgements relied on by the petitioners are concerned, since the words reason to believe do not occur in Section 14 of the Central Excise Act, the judgment of the Apex Court in Calcutta Discount Co. Lt ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
