2008 (5) TMI 117

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..... r, for the Respondent. [Order] - This is Revenue's appeal. 2. The facts of the case are that the respondents were providing services of Clearing and Forwarding Agents and were liable to pay Service tax on the same. During the period 1998-2000 the liability to pay Service tax was on the recipient of the service and not on the provider of the service. However, this provision was changed in the yea .....

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..... 76 of the Finance Act, 1994 and Rs. 1,94,000/- under Section 78 for suppression of facts from the knowledge of the Department with intent to evade Service tax. On appeal this penalty of Rs. 97,000/- was reduced to Rs. 25,000/-. Revenue in its appeal has stated that the Commissioner has no discretion to reduce the minimum penalty provided under Sections 76 and 78 and therefore his order reducing th .....

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..... ce tax was paid along with interest. In view of these circumstances I find that reduction of penalty by Commissioner cannot be faulted with and such discretion rests with the Commissioner under Section 81 (sic) (Section 80) of the Finance Act, 1994 which has been duly exercised. In view of the same, I find no merits in Revenue's appeal and accordingly dismiss the same. (Dictated in Court)
Cas .....

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