2008 (6) TMI 186 - AT - Service Tax

Liability of recipient of GTO service imposition of interest and penalty - unless development in terms of law regarding imposition of retrospective liability for payment of service tax relating to the period 1997-98 which culminated in Supreme Court judgment is ruled out, the question of leviability of penalty cannot be conclusively decided however, interest is payable pre-deposit of interest is ordered but of penalty is waived

Summary

The Appellate Tribunal CESTAT Ahmedabad ruled that the penalty imposed for non-payment of service tax for the period 1997-98 cannot be conclusively decided due to legal developments. However, interest liability exists, and the appellant must deposit Rs. 43,164 within four weeks to waive the penalty and stay against recovery. Compliance to be reported on 29-8-08.