9911796707
TMI Blog2013 (12) TMI 1120X X X X Extracts X X X X X X X X Extracts X X X X ..... arged the liability in August, 2009 in respect of demand. He also discharged liability of interest in March 2009 itself - Therefore, it was a fit case for waiver of penalty under Section 80 of the said Finance Act which the adjudicating authority failed to do by taking into consideration the facts of the case which the appellate authority has done. He reduced the amount of penalty to the extent to Service tax paid by the respondent assessee. At least the appellate authority has exercised the discretion to some extent even though he could have waived the entire penalty under Section 80 of the Finance Act, 1994 which provides for complete waiver of penalty when there was a reasonable cause for failure on assessee’s part in non payment of Serv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 007-08 and vide Challan dated 12-8-2009 for the period 2008-09. A show-cause notice dated 5-5-2009 was issued to the assessee proposing to recover Service tax for an amount of Rs. 1,15,206/- under the proviso to Section 73 of Finance Act, 1994 along with interest thereon of Section 75 of the said Finance Act and also proposing to impose penalties under Section 76, 77 and 78 of the Act. The case was adjudicated by the Jurisdictional Asst. Commissioner who vide an order dated 11-12-2009 confirmed the Service tax demand of Rs. 1,15,206/- and appropriated an amount of Rs. 1,15,123/- paid by the respondent assessee in March and August, 2009. The adjudicating authority confirmed the interest liability under Section 75 of the Finance Act and appro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under Sections 76 and 78 for the period prior to 10-5-2008. It has been further urged that the assessee discharged the Service tax liability only after the case was detected by the department and, therefore the provisions of Section 73(3) of the Finance Act, 1994 are not applicable in this case. 5. I have considered the submissions made by the department. The assessee in this case is a small scale service provider and it is obvious from the records that he did not get registered and discharge Service tax liability as he was not aware of the provisions of law. As soon as the omission on his part was brought to his notice, he discharged the Service tax liability. For the year 2007-08 he discharged the duty liability in March, 2009 and for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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