CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL ALLAHABAD REGIONAL BENCH - COURT NO.II (Arising out of Order-in-Appeal No. 256-ST/APPL/LKO/2022 dated 23/07/2025 passed by Commissioner (Appeals) Customs, Central Excise &

Service Tax, Lucknow)

M/s Rajendra Kumar Gupta, …..Appellant (10/174, Patel Nagar, Moti Katra, Agra-282003)

VERSUS Commissioner of Central Excise &

CGST, Agra ….Respondent (113/4, Sanjay Place, Agra-282002)

APPEARANCE Shri S.P. Ojha, Consultant &

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

FINAL ORDER NO.70055/2026 DATE OF HEARING : 20 January, 2026 DATE OF DECISION : 20 January, 2026 SANJIV SRIVASTAVA:

This appeal is directed against Order-in-Appeal No. 256-

ST/APPL/LKO/2022 dated 23/07/2025 passed by Commissioner (Appeals) Customs, Central Excise & Service Tax, Lucknow. By the impugned order, Commissioner (Appeals) has modified the Order-in-Original No.27/ST/DC/HQ/Agra/2024-25 dated

02.05.2024 wherein following has been held:-

“ORDER a. I confirm the demand of Service Tax amounting to Rs.200855/-(Rupees Two Lakh Eight Hundred and Fifty Five Only) and ordered for its recovery against M/s Rajendra Kumar Gupta, 10/174, Patel Nagar, Moti Katra, Agraunder the Section 73 (2) of the Finance Act, 1994, read with Section 174 of CGST Act, 2017 as discussed here-in-above.

b. I confirm the liability of interest at the appropriate rates on the aforesaid short paid Service Tax of amount of Rs.200855/- and order for its recovery under the provisions of the Section 75 of the Finarice Act, 1994 read with Section 174 of CGST Act, 2017, as discussed here-in-

above.

c. I also impose a penalty of Rs.200855/- upon the aforesaid Noticee, under Section 78 of the Finance Act, 1994 read with Section 174 of CGST Act, 2017 for contravention of various provisions of the Act/Rules. However, an option is given to the Noticee under Clause (ii) of sub Section (1) of Section 78 of the Finance Act, 1994 that if the Service Tax along with interest is deposited within thirty days of communication of this order, the amount of penalty liable to be paid by the party shall be twenty five percent of the Service Tax so determined in the order. Provided that the benefit of reduced penalty under the second proviso shall be available only if the amount of such reduced penalty is also paid within such period.

d. I also impose a penalty of Rs.10,000/- s.10,000/- [Rupees Ten Thousand only] upon the Noticee under Section 77(1)(a) of the Finance Act, 1994 read with Section 174 of CGST Act, 2017, for the reasons discussed here-in-above.

e. I also impose a penalty of Rs.10,000/-[Rupees Ten Thousand only] upon the Noticee under Section 77(1)(c) of the Finance Act, 1994, read with Section 174 of CGST Act, 2017, for the reasons discussed here-in-above.

f. I also impose a penalty of Rs.10,000/- [Rupees Ten Thousand only] upon the Noticee under Section 77(2) of the Finance Act, 1994, read with Section 174 of CGST Act, 2017, for the reasons discussed here-in-above.”

2.1 Appellant having PAN No.ADRPG1364M appeared to have been providing taxable services as defined under Section 65B(44) of the Finance Act, 1994. The said services are not covered in the Negative list under Section 66D of the Finance Act, 1994 nor exempted under Mega Exemption Notification No.25/2012-ST dated 20.06.2012.

2.2 As per the information received from the Income Tax Department, it was observed that appellant had received around Rs.13,85,210/- under Section 194C of the Income Tax Act.

2.3 Inquiries were initiated and letters dated 04.06.2020 and 20.08.2020 were issued to the appellant to furnish various documents alongwith balance sheet for the year 2015-16, but appellant failed to provide any document. Accordingly, service tax liability was calculated on the appellant as detailed in table below:-

2.4 Show cause notice dated 06.11.2020 alleging suppression was issued to the appellant asking the