"EXTENED PERIOD OF LIMITATION"

"EXTENED PERIOD OF LIMITATION"

Every short-payment or short-deposit or non-deposit is not for fraud. Department can use extended period only in case of fraud or willful mis-statement.

We have right to contest extended period in genuine cases.

Few landmark cases on this issue.

1. Antares Services Pvt. Ltd. - Tribunal Chandigarh

(2024) 388 ELT 200

Without putting forth evidence of suppression, mis-statement, fraud, collusion etc., invocation of extended period of limitation merely on basis of third party information was not proper.

2. Spicejet Ltd. - Tribunal Delhi

(2023) 79 GSTL 271

Extended period of limitation could not be invoked when SCN was issued after two years from conduct of audit.

3 Chartered Logistics Ltd - Supreme Court

Extended period of limitation was not invokable when assessee declared as per their belief that service falls under negative list & same had been declared in their ST3 return, therefore, there is no suppression of fact on part of assessee

4. Rimi Profiles - Bombay High Court

(2023) 9 CENTAX 302

Extended period of limitation is not invokable in absence of any material available on record that appellant indulged in suppression.

5. K.N. International Ltd. - Tribunal Allahabad

(2023) 17 CENTAX 115

Extended period of limitation not invocable when records of assessee have been audited regularly by Department and also as issue involved interpretation of law.

6. Neelkanth Polymers - Tribunal Delhi

(2024) 17 CENTAX 98

Since situation regarding payment of tax on GTA service was revenue neutral extended period of limitation not invokable.

7. Hospitech Management Consultants Pvt. Ltd. - Tribunal Delhi

Extended period of limitation for raising demand under proviso to Section 73(1) of Finance Act, 1994 could not be invoked if alleged suppression of facts was not wilful with an intent to evade payment of Service Tax.

8. Hindustan Cables Ltd. - Calcutta High Court

(2022) 382 ELT 188

Extended period of limitation is not invokable when SCN itself is issued not on basis of any discovery of new facts by Dept. but on basis of information gathered from registers and challans maintained by assessee.

9. ITD ITD CEM JOINT VENTURE - Tribunal Chandigarh

Extended period of limitation is not invokable when none of the ingredients like suppression, mis-statement etc. with intent to evade payment of service tax are proved.

Hope you will find this useful.

Thanks

Abhishek Raja Ram