2009 (7) TMI 701 - AT - Service Tax

Penalty- Commissioner (Appeals) reduced penalty in the light of the provisions of Section 80 of the act. Held that- Once the provisions of Section 76 stand invoked against the assessee, the penalties have to be posed in terms of the said section and cannot be lowered. Thus the revenue appeal allowed.

Summary

The Appellate Tribunal CESTAT, Ahmedabad, in the case of Revenue vs. Respondent, upheld penalty under Section 76 of the Finance Act, restoring the original penalty amount of Rs. 46,217/- and setting aside the reduction to Rs. 10,000/ by the Commissioner (Appeals). The Tribunal found Section 80 of the Finance Act not applicable, leading to the restoration of the original penalty amount.