TaxTMI 
TaxTMI 
When penalty under Section 78(1) of finance act is imposed in the show cause notice for short payment of service tax, can in the same show cause notice penalty under Section 77(1)(c) be imposed for failure to furnish information called by an officer?
Penalty under service tax
20 Nov 2021 
11 Replies 
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Penalty under Section 77(1)(c) and Section 78(1): both distinct contraventions may be invoked in the same show cause notice.
The penalty for failure to furnish information under Section 77(1)(c) and the penalty for short payment or evasion under Section 78(1) address distinct contraventions and may be proposed together in the same show cause notice; after the proviso restricting simultaneous application of Section 78 and Section 76 was omitted w.e.f. 14.5.2015, Sections 76, 77 and 78 could be invoked in a single SCN, with adjudicators and appellate authorities determining final imposition based on facts. (AI Summary)
The penalty for failure to furnish information under Section 77(1)(c) and the penalty for short payment or evasion under Section 78(1) address distinct contraventions and may be proposed together in the same show cause notice; after the proviso restricting simultaneous application of Section 78 and Section 76 was omitted w.e.f. 14.5.2015, Sections 76, 77 and 78 could be invoked in a single SCN, with adjudicators and appellate authorities determining final imposition based on facts. (AI Summary)