9911796707
TMI Blog2013 (4) TMI 425X X X X Extracts X X X X X X X X Extracts X X X X ..... imposed u/s 78 was reduced to 25% by Commissioner (Appeals) - Held that:- Assessee was paying service tax under category of Commercial and Industrial Construction and Residential Complex Construction Service prior to 1.5.2006. Service tax on maintenance and repairs was also being paid by them under Section 65(25) of the Finance Act after availing abatement of 67% under Notification No. 1/2006 date ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... one filed by M/s Vascon Engineering Pvt. Ltd (hereinafter referred to as assessee) and second by the Revenue are against the same Order-in-Appeal No. 408/CE/CHD/2008 dated 6.8.2008. 2. Brief facts of the case are that the assessee is registered for service tax under Commercial and Industrial Construction and Residential Complex Construction Service with effect from 10.9.2004 and 16.6.2005 respec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de his Order-in-Original No. 1/2008 dated 29.1.2008 confirmed the service tax along with interest. Penalties under Section 76 and Section 78 were also imposed on the assessee. Assessee filed an appeal before Commissioner (Appeals) who vide the impugned order set aside the penalty imposed under Section 76 of the Act and penalty imposed under Section 78 of the Act was reduced to 25% of tax ;amount. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 65(25b) and 65(64) there is reasonable cause for failure of payment of service tax and benefit of Section 80 of the Finance Act is applicable to them. 4. On the other hand, ld. DR submits that original authority has rightly imposed the penalty equal to tax amount and it was not proper for Commissioner (Appeals) to reduce it to 25% of tax amount. 5. After hearing both sides, we find that assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ered under Section 65(25)(b) and service tax was being paid by them. We are therefore of the view that there is reasonable cause for not paying service tax short paid by them and benefit of Section 80 of the Finance Act 1994 is available to the assessee. Accordingly, we set aside the penalty confirmed by the Commissioner (Appeals) and consequently reject the Revenue's appeal. 8. Revenue's appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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