9911796707
TMI Blog2018 (11) TMI 1221X X X X Extracts X X X X X X X X Extracts X X X X ..... wing details of services rendered by them under Man-power Supply service, the invocation of extended period after 15.09.2006 cannot sustain - the demand for the period 15.09.2006 to 31.03.2008 cannot sustain and requires to be set aside - appeal partly succeeds on the ground of limitation. In identical set of facts, the Hon'ble Jurisdictional High Court in the case of M/s. V.N.K. Menon & Co., Vs CESTAT, Chennai [2015 (7) TMI 266 - MADRAS HIGH COURT] has upheld the decision of Tribunal which set aside the demand after the date when department came to know about the details. Period prior to 15.09.2006 - Held that:- The ingredients of suppression are very much present prior to 15.09.2006. Only pursuant to the investigation conducted not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... law, the original authority confirmed the demand, interest and, inter alia, imposed equal penalty under section 78 of the Finance Act, 1994. Aggrieved, the appellants are now before the Tribunal. 2. On behalf of the appellants, the learned counsel Shri J. Shankar Raman argued only on the ground of limitation. He submitted that show-cause notice has been issued dated 25.08.2009 for the period 16.06.2005 to 31.03.2008. That appellants had addressed a letter to DGCEI on 15.09.2006 along with documents. Thereafter, there were various correspondence with the DGCEI officials as well as the jurisdictional authorities. Thus, the appellants disclosed entire details voluntarily on 15.09.2006. Ultimately, a show-cause notice was issued only on 25.0 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f interpretation and, therefore, penalties may be waived invoking section 80 of the Finance Act, 1994. 3. The learned Authorised Representative Ms. T. Usha Devi DC (AR) for the Revenue supported the findings in the impugned order. She submitted that though appellants have given a letter dated 15.09.2006 to the DGCEI along with documents, the said letter cannot be a ground for not invoking the extended period. In their letter, appellants have merely stated that about the services rendered by them and that they have not collected any taxes from their client etc. The details along with such letter pertain to earlier period i.e., 2003-04 and 2004-05. For the subsequent period, the appellants have not filed periodical returns. The appellants ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have been issued within one year from the date of such knowledge received by the department. On the peculiar set of facts presented by appellants on the case, when the department has come to know about the contract agreement between the appellants and their clients, showing details of services rendered by them under Man-power Supply service, the invocation of extended period after 15.09.2006 cannot sustain. In identical set of facts, the Hon'ble Jurisdictional High Court in the case of M/s. V.N.K. Menon Co., Vs CESTAT, Chennai reported in 2015 (323) E.L.T.524 (Mad.) has upheld the decision of Tribunal which set aside the demand after the date when department came to know about the details. The relevant portion is reproduced as under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he considered view that there is no error on record warranting interference with the well considered finding of the Tribunal. 6. From the above discussions, we are of the considered opinion that the demand for the period 15.09.2006 to 31.03.2008 cannot sustain and requires to be set aside, which we hereby do. The appeal partly succeeds on the ground of limitation. However, we find that the ingredients of suppression are very much present prior to 15.09.2006. Only pursuant to the investigation conducted not only with appellants but also with many of their clients like M/s. SPIC, M/s. Raddison GRT, M/s. Aircel, etc., did the fact of collection of service tax and the evasion come to light. Discernible, these facts were suppressed from the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
