SRI RAMA TRAVELS Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) The application for waiver of pre -deposit of service tax of Rs. 3,50,721/ - and penalty of Rs. 1,000/ - arises out of the order of the Commissioner (Appeals) who has confirmed the demand on the ground that originals showing payment of service tax were not produced for verification.

(2.) I have heard both sides. The applicants' contention that they are sub -agents who are not required to pay service tax as tax is to be paid by the principal party and further submission that photocopies produced for verification should have been accepted as sufficient proof of payment of service tax by the principal parties will be gone into at the time of hearing of the appeal. The issue is contentious and therefore, I direct pre -deposit of Rs. 50,000/ - (Rupees fifty thousand only) towards service tax within a period of four weeks from today and on such deposit, pre -deposit of balance tax and penalty shall stand dispensed with and recovery thereof stayed during the pendency of the appeal. Failure to comply with the above direction will result in vacation of stay and dismissal of appeal without prior notice. Compliance is to be reported on 8 -9 -2004.