9911796707
TMI Blog2018 (9) TMI 660X X X X Extracts X X X X X X X X Extracts X X X X ..... f Residential Complex Service", defined under the Finance Act, 1994. The appellants are also liable for payment of service tax on 'Goods Transportation Agency' Service, under reverse charge mechanism. For the disputed period, the appellants did not pay the service tax attributable to the above taxable services. During investigation, the service tax officers detected such nonpayment of tax by the appellants. Thereafter, the appellants deposited the service tax amount along with interest on such taxable services provided by them. Upon payment of service tax and interest amount thereon, the department issued show-cause notices, seeking for confirmation of the said liabilities and for imposition of penalties on the appellants. The matter was ad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the entire adjudged service tax along with interest was deposited by the appellants before issuance of show-cause notices. The issue with regard to leviability of service tax on construction of residential complex was contentious and the said issue was resolved by the Hon'ble Bombay High Court in the case of Maharashtra Chamber of Housing Industry, reported in 2012 (25) STR 305 (Bom.), in favour of Revenue. Feeling aggrieved with the said judgment of the Hon'ble Bombay High Court, the appellant therein had also preferred appeal in the Hon'ble Apex Court. Since non-payment of service tax was due to the genuine and bonafide belief that such service will not be excisable to service tax, the benefit of Section 80 of the Finance Act, 1994 can b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Even the said judgment was challenged by Maharashtra Chamber of Housing Industry (supra) which is pending in the Hon'ble Supreme Court. In view of this position, on the taxability of the services, the bona fide belief of the appellant in non payment of service tax in time, is established. It is not disputed that the appellant have recorded the entire transaction of their services in their books of accounts. In view of the above position, I find that the appellant have shown the reasonable cause for waiver of penalties invoking under Section 80 of the Finance Act. In various judgments this Tribunal has taken a consistent view, that penalty under similar fact is not imposable. Some of the judgments were relied upon by the appellant as cited i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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