CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL ALLAHABAD REGIONAL BENCH - COURT NO.II (Arising out of Order-in-Appeal No.243/ST/Alld/2024 dated 26/04/2024 passed by Commissioner (Appeals) Customs, Central Excise & Service Tax, Allahabad)

M/s J.S. Institute of Paramedical Science, …..Appellant (111/456,80 Ft. Road Brahma Nagar, Kanpur-2280024)

VERSUS Commissioner of Central Excise &

CGST, Kanpur ….Respondent (117/7, Sarvoday Nagar, Kanpur-208005)

APPEARANCE Shri Shubham Agarwal, Advocate for the Appellant Shri Santosh Kumar, Authorised Representative for the Respondent CORAM: HON’BLE MR. SANJIV SRIVASTAVA, MEMBER (TECHNICAL)

FINAL ORDER NO.70625/2025 DATE OF HEARING : 26 June, 2025 DATE OF DECISION : 26 June, 2025 SANJIV SRIVASTAVA:

This appeal is directed against Order-in-Appeal No.243/ST/Alld/2024 dated 26/04/2024 passed by Commissioner (Appeals) Customs, Central Excise & Service Tax, Allahabad. By the impugned order, Order-in-Original No.01/ST/ADJ/DIV.III/2023-24 dated 16.08.2023 has been upheld wherein following has been held:-

“ORDER i. I confirm the demand of Service Tax amounting to Rs.2.69.795/- (Rupees Two Lakhs Sixty Nine Thousand Seven Hundred Ninety Five) (including Cesses) under Section 73/2) of the Finance Act, 1994 as amended read with Section 174 of the CGST Act. 2017;

ii. I order that interest at the appropriate rate should be charged and recovered in view of Sl.No.(i) above (till the date of payment of service tax) under Section 75 of the Finance Act, 1994 read with Section 174 of the Finance Act, 1994 as discussed above.

iii. I impose a penalty of Rs. 10.000/- under Section

77(1) (a) of Finance Act. 1994 read with Section 174 of the Finance Act, 1994 as discussed above.

iv. I impose a penalty of Rs. 10,000/- under Section

77(2) of Finance Act, 1994 read with Section 174 of the Finance Act, 1994 as discussed above.

v. I also Impose a penalty of Rs.2.46.188/-(Rupees Two Lakhs Forty Six Thousand One Hundred Eighty Eight only) under Section 78 of the Finance Act, 1994 read with Section 174 of CGST Act, 2017.

In view of clause (II) of the second proviso to Section 78 (1), if the amount of Service Tax confirmed and interest thereon is pald within period of thirty days from the date of receipt of this Order, the penalty shall be twenty five percent of the said amount, subject to the condition that the amount of such reduced penalty is also paid within the said period of thirty days.”

2.1 Appellant is engaged in providing "BSS Diploma in Medical Laboratory Technology (AHE001); Medical Laboratory Technician (AHE002). BSS Diploma in Operation Theatre Technology (AHE- 005); BSS Diploma in Operation Theatre Technician (AHE005);

Certificate in Dialysis Technology (AHE-029).

2.2 Joint Director, DGGSTIS South Zone, Chennai vide letter dated 12.02.2019 to jurisdictional authorities investigation was initiated against M/s Bharat Sevak Samaj, Satbhavana Bhavan.

Kowdiar, Thirvananthapuram, for non-payment of Service Tax on Commercial Coaching and Training Service.

2.3 During investigation, it was noticed that M/s Bharat Sevak Samaj Thirvananthapuram, had granted affiliation to a large number of Commercial Coaching Institutes throughout the country for consideration. These coaching institutes appear to be offering coaching in different disciplines which are not part of a curriculum for obtaining a qualification recognized by any law or are not part of an approved vocational education course. Therefore, the said services offered by the coaching institutes appear to be liable to service tax levy.

2.4 On the basis of information provided, it was observed that appellant has not paid service tax as detailed in table below:-

2.5 Show cause notice dated 30.12.2020 was issued to the appellant, asking them to show cause as to why-

“a) Service Tax amounting to Rs 2,69,795/- on the amount of fees received from their students for providing services under the category of "Commercial Coaching and Training Service" amounting to Rs 19,16,000/- should not be dema