2008 (9) TMI 76

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... [Order] - This is an appeal filed by the Revenue. In the impugned order, the Commissioner (Appeals) had vacated a penalty of Rs. 4,09,702/- imposed on the appellants under Section 78 of the Finance Act, 1994 (the Act). The appeal seeks to restore the above penalty. The main ground taken in the appeal is that the assessee was aware of its liability to pay service tax as per the provisions of the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ave carefully considered the facts of the case and the submissions made by both parties. The impugned order dealt with a case where the appellants had rendered 'Business Auxiliary Service' by providing office assistants to M/s. BPL Cellular Ltd. and M/s. ICICI Bank without registering themselves with the department and without following the statutory formalities including payment of service tax. T .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ons made by both sides. It is obvious from the findings of the lower appellate authority that the appellants had committed the transgressions owing to their ignorance of the legal provisions. I am satisfied that the assessee had satisfactorily established that there was reasonable cause for the failures found against them. The finding of the appellants' bona fide conduct is also fortified by the r .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X