9911796707
TMI Blog2008 (10) TMI 146X X X X Extracts X X X X X X X X Extracts X X X X ..... epting the appellant’s contention that they would be liable for payment of Service Tax only with effect from 16-6-2005. There would not be liability in respect of services rendered abroad prior to this date. As the issue is purely a question of interpretation, in my view, the imposition of penalties is unjustified - ST/283/2008 - 1183/2008 - Dated:- 8-10-2008 - Shri T.K. Jayaraman, Member (T) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sion agent in terms of Rule 2(1)(d)(iv) of Service Tax Rules, 1994. The appellants contended before the Original Authority that they would be liable for payment of Service Tax only with effect from 16-6-2005 consequent to insertion of explanation to Section 65(105) of the Finance Act, 1994. This plea was accepted by the Original Authority who dropped the proceedings. However, the matter was taken ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the issue. He also referred to the Board's Circular No. 36/4/2001 dated 8-10-2001 wherein it is clarified that "the levy of service tax extends to the whole of India except the State of Jammu and Kashmir. The expression "India" includes the territorial waters of India. Indian territorial waters extend up to twelve nautical miles from the Indian land mass. Chapter V of the Finance Act which gove ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ned consultant made a prayer for setting aside the penalties. 4.1 Further the learned advocate relied on the following case laws which held that in respect of services provided outside India, the liability would be only with effect from 18-4-2006 when Section 66A was introduced. (i) Foster Wheeler Energy Ltd. v. CCE C, Vadodara-II - 2007 (7) S.T.R. 443 (Tri.-Ahmd.) (ii) Prabhat K. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant's contention that they would be liable for payment of Service Tax only with effect from 16-6-2005. There would not be liability in respect of services rendered abroad prior to this date. As the issue is purely a question of interpretation, in my view, the imposition of penalties is unjustified. In these circumstances, I set aside all the penalties imposed in the impugned order. However, the de ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
