2014 (6) TMI 67

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..... firming the penalties imposed against them under section 76, 77 and 78 of the Finance Act, 1994. 2. Brief facts of the case are that during the period 2006-07 to 2009-2010, the appellant was providing the services of glass wool coating to the sugar factories. At the time of audit in a sugar factory, it came to the knowledge of the department that the sugar factory has received these services from .....

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..... ellant is not disputing the liability of service tax and the interest. They are only disputing the levy of penalties imposed under section 76, 77 and 78 of the Finance Act. It is contended on behalf of the appellant that the penalties under section 76 and 78 of the Finance Act were imposed simultaneously. As per the decision of the Hon'ble Karnataka High Court in the case of Commissioner of Se .....

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..... Further I find that no option was given to the appellant to pay 25% of duty as penalty. As they have paid the service tax along with interest before the issuance of show-cause notice, as per the provisions of section 11AC of the Act, the penalty is reduced to 25% of duty which is to be paid within 30 days from today failing which they would be liable to pay 100% of the duty amount as penalty. 8. .....

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