CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL MUMBAI REGIONAL BENCH - COURT NO. I SERVICE TAX APPEAL No. 87082 of 2022 [Arising out of Order-in-Appeal No. DL/63-64/APPEALS THANE/BW/2022-23 dated 23.06.2022 passed by the Commissioner of CGST & Central Excise (Appeals), Thane, Mumbai.]

Nirmangold Property Developers Pvt. Limited .… Appellants C/o Nitin Anant Patil, Owala Mogharpada, Ghodbunder Road Thane, Maharashtra – 400 615.

VERSUS Commissioner of CGST & Central Excise …. Respondent Bhiwandi Commissionerate

12th Floor, Lotus Info Centre, Station Road, Parel (East)

Mumbai – 400 012.

Appearance:

Shri Vinod Awtani, Chartered Accountant for the Appellants Shri S.B.P. Sinha, Authorized Representative for the Respondent CORAM: HON’BLE MR. M.M. PARTHIBAN, MEMBER (TECHNICAL)

FINAL ORDER NO. A/85028/2026 Date of Hearing: 28.11.2025 Date of Decision: 20.01.2026 PER: M.M. PARTHIBAN This appeal has been filed by M/s. Nirmangold Property Developers Private Limited, Thane (herein after, for short, referred to as ‘the appellants’) against the Order-in-Appeal No. DL/63-64/ APPEALS THANE/BW/2022-23 dated 23.06.2022 (referred to, as ‘the impugned order’) passed by the Commissioner of CGST & Central Excise (Appeals), Thane, Mumbai.

2.1 Brief facts of the case, leading to this appeal, are summarized herein below:

2.2 The appellants herein, inter alia, is engaged in providing “Works Contract service” and for the purpose of payment of service tax and for compliance with service tax statute are registered with jurisdictional authorities holding Service Tax Registration No. AADCN7651EST001. They are also holding PAN No. AADCN7651E for the purpose of income tax purpose.

2.3 During the course of verification of ST-3 Return data filed by the appellant with the data regarding declared turnover in Income Tax Return (ITR)/Tax Deducted at Source (TDS) through 26AS for the year 2013-14, the department had observed that the figures shown at Rs.70,33,042/- in the ITR, does not match with the ST-3 return filed for the period October, 2013 to March, 2014 indicating ‘Nil’ taxable value of services. Therefore, the department had come to a conclusion that the appellants had not declared the turnover of services to the above extent and that service tax amount of Rs.8,69,283/- had not been paid by the appellant.

2.4 On the above basis, Department issued Show Cause Notice (SCN) No.211/AC/2019-20 dated 24.04.2019 to the appellant demanding service tax of Rs.8,69,283/- along with interest and for imposition of penalty on the appellants. Further, the department also verified the data relating to 2014-15 & 2015-16 and similarly demanded service tax amount of Rs.23,39,421/- by issue of SCN No.04/2020 dated 29.09.2020. In the absence of any reply to the SCN and that in none of the three personal hearing dates/opportunities given, the appellants had appeared before the adjudicating authority, on the basis of the allegations mentioned in the SCN and the data available on record, he had proceeded to adjudicate the case. The original authority i.e., Assistant Commissioner, Division-I, Bhiwandi CGST & Central Excise Commissionerate in adjudication of the case had confirmed the demand of service tax amounting to Rs.8,69,283/- & Rs.23,39,421/- under Section 73(1) of the Finance Act, 1994 along with interest and had imposed Penalty of Rs.8,69,283/- & Rs.23,39,421/- under Section 78 and further penalty of Rs. 10,000/- each under Section 77 ibid vide two Order-in-Original dated 12.02.2021 & 24.03.2022. Being aggrieved with the aforesaid orders of the original authority, the appellant had filed an appeal before the Commissioner (Appeals). In deciding the said appeal vide impugned order dated 23.06.2022, learned Commissioner (Appeals), had on the basis of correct figures of the turnover for the period 2013-14 and that the SCN was issued beyond the statutory five years period had dropped the demand as time barred. Further, in respect of the demand for the period 2014-15 and 2015-16, on the b