2013 (12) TMI 1663

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..... Commissioner(AR) For the Respondent JUDGEMENT Per B.S.V. MURTHY Appellant has a Container Freight Station at Visakhapatnam Port. During the course of rendering service, the appellant collected demurrage charges in respect of export cargo which were lying with them beyond 7 days. Further, the appellant had utilized more than 20% of Cenvat credit for payment of service tax even thoug .....

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..... ons made by both sides and perused the records. I find that the export cargo which was lying beyond 7 days had been treated as storage and warehousing service by the appellant. There is no clarity on this issue. However, the assessee cannot be found faulted if they have entertained a bonafide belief that the service tax need not be paid on export cargo which was lying with them beyond 7 days. On t .....

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..... taken a view that this was basically a technical error. There is no appeal filed by Revenue against this observation. Therefore, it is to be treated as technical error. In these circumstances, only for utilization of more than 20% of Cenvat credit, nominal penalty would be appropriate in view of the fact that the Commissioner himself accepted it as technical error. Accordingly, the penalty imposed .....

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