The court emphasized the necessity for designated officers to reconsider service tax compliance matters, underscoring procedural adherence in issuing show-cause notices under the Finance Act, 1994.

ORDER :

M. NAGAPRASANNA, J.

1. The petitioner is before this Court seeking the following prayer:

A. Issue a Writ of Certiorari by quashing the order of the respondent dated 12.05.2022 passed in OIO No. Bel/EXCUS/000/DIVH/ASC/VM/11/2022-23 (Annexure- C).

B. Issue other writ or writs as the Hon’ble Court deems it fit, in the interest f justice in the Petitioner’s case.

2. Heard the learned counsel Sri.G.V.Ramanagoudar, appearing for the petitioner and learned counsel Sri.G.S.Hulmani, appearing for respondent.

3. Learned counsel appearing for the parties in unison would submit that, the issue in lis stands covered by the Judgment of the Co-ordinate Bench of this court in the case of Thamaneni Venkatareddy vs. The Assistant Commissioner in Writ Petition NO.628/2024 and connected matters dated 10.07.2024, wherein it was held as follows:

“In all these matters, the proceedings by way of show cause notice under the Finance Act for Service Tax liability have been initiated on the basis of inputs received from the Central Board of Direct Taxes (CBDT) on the basis o f Form 26AS/income tax returns filed.

2. Taking note of the order dated 03.07.2024 passed by this Court in W.P.No.11154/2023 and connected petitions, the present batch of Writ Petitions are also required to be disposed of in light of the observations made therein, as the legal contentions are identical and would fall within the consideration as reflected in the order dated 03.07.2024 passed in W.P.No.11154/2023 and connected petitions.

3. The observations made in the order dated 03.07.2024 passed in W.P.No.11154/2023 and connected petitions, reads as follows:-

"These petitions have been filed calling in question the action of the respondent Department in issuing show-cause notice or having assed the orders-in-original relating to demand sought to be raised under the provisions of the Finance Act, 1994relating to service tax liability.

2. In all these matters, the proceedings by way of show-cause notice under the Finance Act for service tax liability have been initiated on the basis of inputs received from the Central Board of Direct Taxes on the basis of Form 26AS/Income Tax returns filed.

3. The details of the writ petitions and the stages are as follows:

4. After having heard the matters on various occasions, the Union of India have taken a stand and filed affidavit of the Principal Commissioner, Central Taxes.

5. Sri.N.Venkataraman, learned Additional Solicitor General who was present before the court on 27.06.2024 had submitted that they desire that the matters be resolved and accordingly have putforth a proposed mechanism and made certain suggestions in the affidavit filed. The relevant extract of the affidavit filed by the Principal Commissioner of Central Tax, presently holding charge of Bengaluru West and additional charge of Bengaluru East Commissionerate reads as hereunder:

"I, Kiran Verma, working as Principal Commissioner of Central Tax, presently holding charge of Bengaluru West and additional charge of Bengaluru East Commissionerate, Bengaluru do hereby solemnly affirm and state on oath as follows:

I am working as Principal Commissioner of Central Tax, Bengaluru West and holding additional charge of Bengaluru East Commissionerate, Bengaluru -560071. I am the concerned person in the above Writ Petition. I am fully conversant with the facts of the case. I am authorized to swear to this affidavit.

1. I submit that in the above batch of cases, the dispute is regarding the Issuance of the Show Cause Notice and demand of Service Tax made on the basis of information provided by CBDT (Central Board of Direct Taxes) as per the assessee's Income Tax returns. The Service Tax Levy is on the taxable services provided by one person or Entity to another, in terms of the provisions contained i