https://www.taxtmi.com/caselaws?id=359073 Penalty under section 78 of the Finance Act, 1994 requires deliberate suppression of facts or another positive act showing intent to evade tax. Where service tax and interest were paid before the show cause notice, the transactions were disclosed in the accounts, and the department was informed, the absence of suppression and the revenue-neutral character of the dispute weighed against penal action. A dispute over reimbursement of expenses did not alter that position. On these facts, mere non-payment was insufficient to sustain penalty, and penal liability was not attracted. en-us Tue, 13 Mar 2018 00:00:00 +0530 Tue, 24 Apr 2018 09:49:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=359073 Penalty under section 78 of the Finance Act, 1994 requires deliberate suppression of facts or another positive act showing intent to evade tax. Where service tax and interest were paid before the show cause notice, the transactions were disclosed in the accounts, and the department was informed, the absence of suppression and the revenue-neutral character of the dispute weighed against penal action. A dispute over reimbursement of expenses did not alter that position. On these facts, mere non-payment was insufficient to sustain penalty, and penal liability was not attracted. Case-Laws Service Tax Tue, 13 Mar 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=359073