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TMI Blog2014 (9) TMI 977X X X X Extracts X X X X X X X X Extracts X X X X ..... ls under Site Formation and Clearance, Excavation and Earth Moving and Demolition Services. The appellant has also not approached the department for clarification whether their activity falls under taxable service or not. In the circumstance, we hold that the appellant are not entitled for the benefit of Section 80 of the Finance Act, 1994. As the appellant has paid the entire amount of Service Tax along with interest, therefore, penalty is reduced to 25% of the Service Tax confirmed under Section 78 of the Finance Act against them. The appellant is directed to pay the reduced amount of penalty within a period of 30 days of the communication of this order failing which the appellant shall be liable to pay 100% of the Service Tax payable. Pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1994. 3. Heard both sides. 4. The learned Counsel for the appellant submits that the activity undertaken by the appellant during the impugned period is in nature of mining services and the same has been brought under the Service Tax net with effect from 1-6-2007. Therefore, they are not required to pay Service Tax prior to that period as their activity fairly covered under Mining Service. He further submits that the service recipient also sought clarification from the Department vide their letter dated 4-7-2006 to clarify whether the activity undertaken by the appellant is covered under the category of Site Formation and Clearance, Excavation and Earth Moving and Demolition Services or not but no response was given by the depar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imposed on the appellant are required to be confirmed. 6. Considered the submissions made by both the sides. 7. As the appellant has admitted the Service Tax liability and the same is not in dispute, therefore, we are considering only the issue of penalties imposed on the appellant under Sections 76, 77 and 78 of the Finance Act, 1994. We find the C.B.E. & C. vide Circular dated 27-7-2005 clearly clarifies that the activity undertaken by the appellant falls under Site Formation and Clearance, Excavation and Earth Moving and Demolition Services. The appellant has also not approached the department for clarification whether their activity falls under taxable service or not. In the circumstance, we hold that the appellant are not ..... X X X X Extracts X X X X X X X X Extracts X X X X
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