LALIT ENTERPRISES Vs. COMMISSIONER OF SERVICE TAX

JUDGEMENT

(1.) SHOW Cause Notice dated 7 -7 -2003 demanding service tax of Rs. 70,143 together with interest and proposing imposition of penalty was issued to the assessees on the ground that they were rendering taxable service falling under the category of 'clearing and forwarding agents' to M/s. Grasim Industries Ltd. (White Cement Division). The demand was confirmed vide adjudication order dated 16 -1 -2004 passed by the Deputy Commissioner who also imposed penalty. The Commissioner (Appeals) vide order dated 3 -8 -2004 allowed the assessee's appeal following the decision of the Tribunal in the case of Mahavir Generics v. CCE : [2007] 6 STT 523 (New Delhi - CESTAT); the Tribunal set aside the order of the Commissioner (Appeals), following the decision in Prabhat Tarda Factory (India) Ltd. v. CCE : 2002 (145) ELT 222 :[2007] 7 STT 226 (Kol. - CESTAT); however the Tribunal remanded the issue of time -bar and penalty to the Commissioner (Appeals) who vide the impugned order held that the demand was not time -barred and also held that the assessees were liable to penalty. Hence this appeal.

(2.) SECTION 73(1)(a) provides that,

(3.) THE appeal is thus partly allowed in the above terms.