2013 (1) TMI 300

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ation are directed against order-in-appeal no. PI/RKS/118-119/2012 dated 18.5.12 passed by the Commissioner of Central Excise, Pune-I. The stay application is taken up for consideration. 2. The appellant are receiving services from abroad and on such services, they are liable to pay service tax on reverse charge basis as provided for under Section 66A of the Finance Act, 1994. During the course o .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... peal of the revenue for imposition of penalty equivalent to the service tax not paid was confirmed. Hence the appellant is before me. 3. Ld. CA for the appellant submits that they had paid the service tax liability as soon as the case was detected and before the show-cause notice was issued and the adjudicated. He further contends that the mistake had occurred due to inadvertence and whatever tax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 66A and therefore, such a proposition should be rejected outright. The law cannot be interpreted in such a way so as to negate the very objective of taxation. Therefore, the argument that in a revenue neutral situation, tax need not be paid and in the instant case demand is bad in law is completely unacceptable. When a tax liability arises it should be discharged in time. If there is a default, t .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X