2016 (12) TMI 162

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..... at Raichandani, Advocate for the respondent Per: C J Mathew: Impugned order-in-original no. PI/Commr/ST/12/2010 dated 16th December 2010 of Commissioner of Central Excise Pune which confirmed tax demand of Rs. 97,44,061/-, recovery of Rs. 2,47,882/- under section 73A of Finance Act, 1994, interest thereon and penalty of Rs. 3,00,000/- under section 76 and Rs. 5,000 under section 77 of Finance Ac .....

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..... s and also recovered tax from customers even before the 'supply of tangible goods service' was made taxable. 3. The assessee has filed a memorandum of cross-objections contesting the penalties imposed. 4. We have heard the Learned Authorized Representative and the Learned Counsel for the respondents. It is seen from the impugned order that the entire liability was discharged before the adjudicat .....

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..... ppress the tax collected and he paid the portion of the service tax in the govt. account; that the assessee also did reflect the outstanding dues to the central government in the Income Tax returns; that there is a truth that the assessee did not receive the consideration immediately and there was time gap; that it is a matter of common knowledge that the labourers won't be waiting till the as .....

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..... the service tax provisions. The education alone cannot make any person to understand law of the land. Under the above circumstances, I conclude that there was no intention on the part of the assessee to evade service tax. But the facts of the case clearly establish that there was a delay in paying the service tax in full which is not disputed by the assessee. Therefore, imposing penalty under Sec .....

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..... f Finance Act, 1994 does not compromise the discharge of tax liability. Once the amount has been paid in full, there is no reason. In the circumstances narrated in the impugned order, to invoke the proviso to section 73(1) of Finance of Act, 1994. Therefore, the non-imposition of penalty in the circumstances of the specific finding that the pre-requisites for imposition of penalty under section 78 .....

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