Madras High Court
Commissioner Of Service Tax vs M/S.Verizon Data Services on 5 January, 2021
CMA.No.3322 of 2014
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 05.01.2021
CORAM :
The Honourable Mr.Justice T.S.SIVAGNANAM
and
The Honourable Ms.Justice R.N.MANJULA
Civil Miscellaneous Appeal No.3322 of 2014
Commissioner of Service Tax,
No.2054-I, IInd Avenue, 12th Main Road,
Anna Nagar, Chennai - 600 040. ...Appellant
Vs
1. M/s.Verizon Data Services
India Pvt. Limited,
th
9 Floor, Alltius Block,
Olympia Tech Park,
Plot No.1, SIDCO Industrial Estate,
Guindy, Chennai - 600 032.
2. Customs, Excise and Service
Tax Appellate Tribunal,
South Zonal Bench,
Shasthri Bhawan Annexe, 1st Floor,
No.26, Haddows Road,
Chennai - 600 006. ...Respondents
Civil Miscellaneous Appeal filed under Section 35G(2) of Central
Excise Act, 1944 read with Section 83 of Finance Act, 1994 against the
impugned order of the Hon'ble Tribunal in Final Order No.40078/2014
1/6
https://www.mhc.tn.gov.in/judis/
CMA.No.3322 of 2014
dated 07.02.2014 and the Order-in-Original No.93/2010 dated 04.01.2010
passed by the Assistant Commissioner of Service Tax, Chennai III Division,
Chennai may be restored.
For Appellant: Mr.T.L.Thirumalaisamy
For Respondent: Mr.Sriram Seshadri for R1
R2- Tribunal
JUDGMENT
(Delivered by T.S.Sivagnanam,J)
This appeal filed by the appellant under Section 35G(2) of the Central
Excise Act, 1944 read with Section 83 of Finance Act, 1994 is directed
against the order dated 07.02.2014 made in Final Order No.40078/2014
passed by the Customs, Excise & Service Tax Appellate Tribunal, Chennai
('the Tribunal' for brevity).
2. The appeal was admitted on 28.11.2014 on the following
substantial questions of law:
“1. Whether the decision of the Tribunal in
allowing the refund of CENVAT credit even
without registration of the assessee under Section
69 of the Finance Act, 1994 is correct in law?
https://www.mhc.tn.gov.in/judis/
CMA.No.3322 of 2014
2. Whether Hon'ble CESTAT is correct in
not considering the safeguards, conditions and
limitations as stipulated in the Appendix to the
Notification No.05/2006-CE (N.T) dated
14.03.2006?
3. Whether the Tribunal Final Order
No.40078/2014 dated 07.02.2014 holding that all
activities are covered within the first part of the
definition of the input service under Rule 2(1) of
Cenvat Credit Rules, 2004 is correct in law?
4. Whether the Tribunal is correct in law in
holding that various input services for which
refund of cenvat credit is being claimed, is directly
needed for providing output service?"
3. We have heard Mr. T.L.Thirumalaisamy, learned counsel appearing
for the appellant/Revenue and Mr.Sriram Seshadri, learned counsel
appearing for the first respondent.
4. The Revenue seeks to withdraw the case on account of low tax
effect in terms of the circular dated 22.8.2019 issued by the Central Board
of Indirect Taxes and Customs. By the said Circular, the monetary limit for
filing or pursuing any matter before the High Court has been increased to
https://www.mhc.tn.gov.in/judis/
CMA.No.3322 of 2014
Rs.1 Crore. It is further submitted that the tax effect in this case is less than
the threshold limit.
5. In the light of the above, the Civil Miscellaneous Appeal is
dismissed on the ground of low tax effect and the substantial questions of
law raised are left open. In the event the tax effect is above the threshold
limit fixed in the said circular, liberty is granted to the Revenue to file a
petition before this Court to restore the matter to be heard and decided on
merits. No costs.
(T.S.S.,J.) (R.N.M.,J.)
05.01.2021
Index: Yes/No
Internet:Yes/No
Speaking Judgment/Non speaking Judgment
hvk
https://www.mhc.tn.gov.in/judis/
CMA.No.3322 of 2014
To
1. Customs, Excise and Service
Tax Appellate Tribunal,
South Zonal Bench,
Shasthri Bhawan Annexe, 1st Floor,
No.26, Haddows Road,
Chennai - 600 006.
2. Commissioner of Service Tax,
No.2054-I, IInd Avenue, 12th Main Road,
Anna Nagar, Chennai - 600 040.
https://www.mhc.tn.gov.in/judis/
CMA.No.3322 of 2014
T.S.SIVAGNANAM,J
AND
R.N.MANJULA,J
hvk
C.M.A.No.3322 of 2014
05.01.2021
https://www.mhc.tn.gov.in/judis/
