ORDER
S.L. Peeran, Member (J)
1. The applicant is seeking waiver of Service Tax of Rs. 2,96,220/- for the period from July 2003 to March 2005. The appellants were selling the re-charge Cell One of BSNL SIM cards and Re-charge Coupons of BSNL, Kerala Telecom Circle, Thiruvananthapuram. The Revenue has brought this activity under the ambit of Business Auxiliary Services.
2. The learned Counsel submits that they are paying the Sates Tax and the Agreement entered into by them with the BSNL clearly shows that they are purchasing the items on advance payment as per the Agreement. A copy of the Agreement is filed. He submits that Service Tax is not attracted in such a situation. He refers to Stay Order Nos. 896 & 897/2006 dated 01.08.2006 rendered in the case of M/s. Hindustan Associated traders and another in a similar situation wherein the appellants had been put to terms of 10% of the Service Tax. He submits that as he has produced the Agreement now, therefore, they are not liable to pay and the same may be considered.
3. The learned JDR submits that they have not produced evidence pertaining to discharge of Sales Tax. As the other parties have been put to terms, he submits that this party may also be put to terms on the same conditions.
4. I have carefully considered the submissions. This Bench, in the case of M/s. Hindustan Associated Traders & Another by the above cited Stay Order, had put the appellants to terms at 10% of the Service Tax confirmed in the matter. The appellants are required therefore to pre-deposit Rs. 30,000/-(Rupees thirty thousand only) within a period of two months. On such deposits, the balance of Service Tax stands waived and recovery stayed. On compliance, the Revenue is barred from recovering the amount. Failure to comply will entail dismissal of the appeal. Calf on to report compliance before the Division Bench on 21st June, 2007.
(Pronounced and dictated in open Court)