9911796707
TMI Blog2014 (8) TMI 229X X X X Extracts X X X X X X X X Extracts X X X X ..... M P Joshi, Adv. PER : P K Jain Revenue is in appeal against the order passed by Commissioner (Appeals) waiving penalty under Section 80 of the Finance Act, imposed by the original authority under Section 76 78 of the Finance Act, 1994. 2. The brief facts of the case are the respondent is engaged in providing Commercial Construction Service and Works Contract Service. Based upon the investigation, a demand notice dt. 28.7.2009 was issued demanding service tax amounting to ₹ 28,16,875/- and proposing to appropriate equal amount which was already paid by them. Notice also proposed recovery of interest of ₹ 1,04,264/- and the appropriated an equal amount which was already paid by the respondent. Notice also provided i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - was pertaining to the TDS amount deducted by the clients of the respondent. Respondent paid the service tax without including the TDS amount. On pointing out, they paid the service tax along with the interest on the TDS amount. 4. Respondent have also filed cross-objection. The main grounds of the respondent are that there was no intention whatsoever to evade the duty and the duty amount under dispute is negligible compared to the total duty payments made by the appellant and delay has happened due to reasonable causes as explained by them. Under the circumstances, the waiver of penalty under Section 80 of the Finance Act is correct. 5. Heard both sides. 6. The main argument of the learned A.R. was that in respect of ₹ 17,9 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in certain cases . - (1) Notwithstanding anything contained in the provisions of section 76, section 77 or first proviso to sub-section (1) of section 78, no penalty shall be imposable on the assessee for any failure referred to in the said provisions if the assessee proves that there was reasonable cause for the said failure. I find that keeping in view the nature of dispute, explanation given by the respondent as also the fact that the demand constitutes only .17% of the tax paid during 2007-08 and 2.2% of the tax paid during 2006-07, I am satisfied that the respondents have been able to explain that there was reasonable cause for the said failure and Commissioner (Appeals) has correctly waived the penalty. 9. Accordingly appeal fi ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
