ESSKAY ASSOCIATES Vs. COMMR. OF C. EX.

JUDGEMENT

(1.) THE Additional Commissioner confirmed demand of Service tax amounting to Rs. 10,42,255/ - with interest on the said amount under Section 75 of the Finance Act, 1994. He also imposed penalty of equal amount with interest under Section 76 and further penalty of Rs. 1,000/ - per day under Section 77 of the Act. He further imposed penalty equal to the amount of tax under Section 78.

(2.) AT the stage of appeal before the Commissioner (Appeals) the appellant pre -deposited a sum Rs. 3 lakhs. The Commissioner (Appeals) by the order -in -appeal dated 27 -0 -2007 (sic) set aside the demand of service tax on transportation charges, freight charges, godown rental charges and clerk's salary. He also set aside the penalties. Against the said order -in -appeal, both the assessee/appellant and the Department have come in appeal to the Tribunal. It may be mentioned that the Department's appeals have not been listed today.

(3.) WE may mention here that when the appeal came up for hearing on 8 -2 -2008, the same was deferred so that the outstanding demand as per the Commissioner's orders can be quantified and a suitable order on the point of pre -deposit/stay in terms of Section 35F of the Central Excise Act is passed. We are told that the appellant has not co -operated with the Department and the department has not been able to quantify the outstanding demand as per the order -in -appeal.