2009 (9) TMI 295 - AT - Service Tax

Penalty-Reasonable cause- In the light of the various decisions held that department has not questioned the reason or cause shown by the assessee before the Commissioner (Appeals) for reduction in penalty, uphold the order of Commissioner (Appeals) and reject the appeal.

Summary

The Appellate Tribunal CESTAT, Chennai upheld the reduction in penalty to Rs. 5,000 under section 76 of the Finance Act, 1994, following precedents where the Commissioner (Appeals) can reduce penalty if reasonable cause is shown by the assessee. The appeal by the revenue was rejected.