No coercive action was permitted during the inspection, and the matter was listed for the next hearing on 30th October 2025

CESTAT upheld service tax and interest on Pondicherry Engineering College’s technical testing services but waived the penalty for lack of intent to evade.

The Court observed that since the central authorities had already completed assessments for the same period and the matter was sub judice before the Madras High Court, fresh state-level assessments would effectively lead to double taxation, which is not legally sustainable.