https://www.taxtmi.com/caselaws?id=2793 The Tribunal set aside the penalty imposed under Section 78 of the Finance Act, finding that the appellants promptly paid the Service Tax upon being informed, which did not indicate an intent to evade duty. The Tribunal considered Section 80 of the Finance Act, which states that no penalty shall be imposed if a reasonable cause for the failure is proven. As the appellants demonstrated a reasonable cause for their actions, the penalty under Section 78 was deemed unsustainable, and the appeal was disposed of in their favor. en-us Fri, 27 Jul 2007 00:00:00 +0530 Wed, 16 Apr 2008 10:55:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=2793 The Tribunal set aside the penalty imposed under Section 78 of the Finance Act, finding that the appellants promptly paid the Service Tax upon being informed, which did not indicate an intent to evade duty. The Tribunal considered Section 80 of the Finance Act, which states that no penalty shall be imposed if a reasonable cause for the failure is proven. As the appellants demonstrated a reasonable cause for their actions, the penalty under Section 78 was deemed unsustainable, and the appeal was disposed of in their favor. Case-Laws Service Tax Fri, 27 Jul 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=2793