9911796707
TMI Blog2012 (10) TMI 307X X X X Extracts X X X X X X X X Extracts X X X X ..... n the Order in Original impugned before it in entirety. 3. The facts which are not in dispute are that the appellant/assessee had concededly not deposited service tax for the period 2006-07 to 2008-09. However, it deposited a sum of Rs. 3,54,37,986/- ( Rupees Three crores fifty four lakhs thirty seven thousand nine hundred eighty six) on 3.3.2009. In view of this development, the Service Tax authorities issued a show cause notice as to why the amount so deposited should not be appropriated towards interest and the liability arising on account of default in payment of tax and default in compliance with the other provisions of the Finance Act, 1994. 4. The relevant part of the show cause is extracted below: - "28. Now therefore, MSPL are he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... terest quantified at Rs. 62,39,220/-. The Commissioner also imposed penalty of the amount identical with the service tax liability i.e. Rs. 3,54,37,986/- under Section-78 of the Act. The appellant approached the CESTAT which by the impugned order directed deposit of 25% of the said penalty amount which in fact works out to Rs. 88,59,497/-. 6. At the outset, counsel for the appellant argued that the first proviso to Section-78 directs that the penalty demanded in terms of the Act, if paid within 30 days from the date of communication of the order determining the service tax "shall be 25% of the service tax so determined". It is submitted that the appellant had complied with the demand even before the issuance of the show cause notice and co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice, the amount of service tax so not levied or paid or short-levied or short-paid or erroneously refunded. Provided that where true and complete details of the transactions are available in the specified records, penalty shall be reduced to fifty per cent of the service tax so not levied or paid or short-levied or short-paid or erroneously refunded: Provided further that where such service tax and the interest payable thereon is paid within thirty days from the date of communication of order of the Central Excise Officer determining such service tax, the amount of penalty liable to be paid by such person under the first proviso shall be twenty-five per cent of such service tax:" 9. In this case, the service tax itself was concededly pai ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
