CASUAL PLUS Vs. COMMISSIONER OF CENTRAL EXCISE, LUDHIANA

JUDGEMENT

(1.) HEARD both sides. Applicant filed this application for waiver of pre -deposit of amount of service tax of Rs. 2,22,806/ - along with interest and penalties. The contention of the applicant is that applicant is providing "business auxiliary service' by selling the ready -made garments on behalf of manufacturer. The contention is that applicant had already paid service tax of Rs. 9,000/ - on the commission received. Revenue confirmed the demand by adding amount reimbursed by the principal to the assessable value of service. The contention is that after passing the adjudication order, the applicant has already deposited an amount of Rs. 1,06,471/ - on 23.07.10.

(2.) ON financial hardship, applicant submitted that applicant is a small assessee. The contention of the Revenue is that there is no provisions regarding abatement of reimbursement of amount received from principal and the applicant is liable to pay service tax on the gross amount received in respect of service.