2007 (12) TMI 161 - AT - Service Tax

Commissioner while imposing penalty have observed that the appellants had not adduced any reasonable cause for such failure to pay the tax before the adjudicating authority or before him and therefore, benefit of Section 80 cannot be granted - noticee was not aware of the levy of service tax on the consignment agent falling under the category of C&F agent, but got registered when came to know the levy of tax on them - failure on the part of noticee was not voluntarily penalty is unsustainable

Summary

The appeal was filed against penalty imposition under sections 76, 77, and 78 of the Finance Act, 1994. The Assistant Commissioner did not impose the penalty under Section 80 due to lack of awareness of the law by the noticee. The imposition of penalty in the revision order was set aside, and the appeal was allowed with consequential relief.