2007 (2) TMI 672 - AT - Service Tax

Summary

The Appellate Tribunal CESTAT MUMBAI ruled in favor of the appellants, setting aside the penalty of Rs. 1,46,222 imposed under Sections 76, 77 & 78 of the Finance Act, 1994. The appellants, providers of 'Mandap Keeper' service, paid the service tax and interest but failed to register, pay service tax, and file returns due to ignorance of the law. Since there was no willful negligence, the penalty was deemed unnecessary, and the appeal was allowed.