- (1.) THE appellants in the MAT are aggrieved by a decision of a single Judge dated May 15,2014 allowing the respondents' WP No.4085(W) of 2014 under Article 226 of the Constitution of India. Under a lease dated September 1, 2012 the appellants rented certain immovable property owned by the respondents. Clause 6 of the lease deed is quoted below: - "6.The lessor/lessors shall pay all rates, taxes, assessment, charges and other outgoings whatsoever of every description which under the statutes are primarily leviable upon the lessor and shall keep the premises free from all encumbrances and interference in this behalf. Rates and taxes primarily leviable upon the occupier shall be paid by the Government."
(2.) THE respondents raised the first lease rent bill dated August 31, 2012 asking the appellants to pay lease rent for the period from September 1, 2012 to September 30,2012. It was mentioned in the bill that the appellants were liable to pay 12% service tax on the lease rent. The respondents continued to raise bills for lease rent adding 12% service tax on it.
(3.) THE fourth appellant (The Defence Estates Officer, Kolkata Circle) wrote a letter dated December 11,2012. While mentioning that he was forwarding a cheque towards payment of lease rent from September 1,2012 to November 30, 2012 after 10% TDS deduction, the officer informed the first respondent as follows: "4.The issue of payment of service tax is under consideration of competent Authority of Govt. of India, and necessary action will be taken after receipt of their decision in this matter." In response to the letter of the fourth appellant dated December 11,2012 the first respondent wrote a letter dated December 14, 2012. While acknowledging receipt of the cheque towards payment of lease rent, the first respondent referred to the relevant provisions of law on service tax and requested the fourth appellant to pay the service tax element in the rent bills.;