service tax not paid electronically

[MANISH KHANNA]

Penalty is sought to be issued u/s 77 for failure to pay service tax electronically. Could you please give case laws in favour of assessee

Thanks

Manish Khanna

[YAGAY andSUN]

Dear Manish,

You may implore for reduction of penalty on the basis of bona-fide believe for non deposit of service tax electronically. This is the only way out.

Regards

Team YAGAY and SUN

(Management and Indirect Tax Consultants)

[Mahir S]

The only consolation is that the Penalty for above under section 77(1) (d) cannot exceed ten thousand rupees and same is effective from 08.04.2011. Prior it was upto five thousand rupees.

Efforts to reduce/waive the penalty shall only result in more waste of time and money. It is advisable to pay the penalty and close the issue, except if u have any genuine reason with supportive evidence.

AI Summary

Debate on Service Tax Non-Payment Penalties: Section 77(1)(d) Caps at INR 10,000 Since 2011. Settle or Contest? A discussion on a forum involved a query about penalties for not paying service tax electronically. The initial query sought case laws favoring the assessee. One response suggested requesting a penalty reduction based on a bona fide belief for non-compliance. Another response highlighted that the penalty under section 77(1)(d) is capped at ten thousand rupees since 2011, advising payment of the penalty unless there is a genuine reason with evidence to contest it. The discussion reflects on the practicality of disputing the penalty versus settling the matter promptly.