- (1.) The appeal arises from a judgement and order of the Customs, Excise & Service Tax Appellate Tribunal, New Delhi1 dated 18 February 2014.
(2.) By an order of adjudication dated 30 October 2012 the Commissioner, Customs and Central Excise, Noida confirmed a demand of service tax of Rs. 3,78,49,744/- under Section 73(i) of the Finance Act, 19942 and besides demanding interest, imposed a penalty in a like amount under Sections 75, 77 and 78.
(3.) The assessee is a part of a group of companies situated in the US, UK and Singapore, among other countries, and had booked expenses during financial years 2006-07 to 2010-11. The assessee in the course of its business operations hired certain expatriate employees overseas. These employees were either directly employed by the assessee or were transferred from other Group Companies to the assessee in India. During the tenure of their employment in India, the expatriate employees performed their duties and responsibilities like other employees of the assessee in India. A letter of employment was entered into between the expatriate employee and the assessee from the date when the employee was transferred to India for the duration of the employment in the country.;