CESTAT upholds service tax levy, reduces penalties under Sections 78 and 77, partially allows appeal.

The Appellate Tribunal CESTAT NEW DELHI upheld the levy of service tax. Penalties under Sections 78 and 77 of the Finance Act, 1994 were addressed, with the penalty under Section 78 reduced to Rs. 48,650 and the penalty under Section 77 confirmed at Rs. 10,000. The appeal was partly allowed due to a deposit made by the appellant.

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The Appellate Tribunal CESTAT NEW DELHI upheld the levy of service tax. The dispute was regarding penalties under Sections 78 and 77 of the Finance Act, 1994. The penalty under Section 78 was reduced to Rs. 48,650, and the penalty under Section 77 was confirmed at Rs. 10,000. The appeal was allowed partly based on the deposit made by the appellant.

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