HOTEL MELA PLAZA Vs. CCE

JUDGEMENT

(1.) HEARD both sides.

(2.) THE appellants filed this appeal against the Order -in -Appeal passed by the Commissioner of Central Excise (Appeals). The Commissioner (Appeals) in the impugned Order held that 10% of the bill amount charged as service charges are liable for service tax. The Commissioner (Appeals) confirmed the demand of Rs. 1,18,630 and penalty of Rs. 2,37,260 was imposed on the appellants.

(3.) THE contention of the Revenue is that they were charging 10% as service chargers and the customer has to pay this 10% for services received by the clients and this amount is paid to the appellants. The Revenue has also contended that the appeal filed by the Revenue against the Order passed by the Asstt. Commissioner was dismissed on technical ground by the Commissioner (Appeals).