https://www.taxtmi.com/caselaws?id=415858 Penalty under Section 78 of the Finance Act, 1994 was found unsustainable where the service tax dispute concerned valuation of ocean freight charges and turned on interpretation rather than deliberate evasion. Because the valuation rule had already been treated as ultra vires, the taxpayer's understanding of liability was considered bona fide. The record did not establish suppression or intent to evade, and the existence of an earlier notice on the same issue also weighed against invocation of the extended period. The penalty was therefore set aside. en-us Tue, 14 Dec 2021 00:00:00 +0530 Thu, 16 Dec 2021 09:04:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=415858 Penalty under Section 78 of the Finance Act, 1994 was found unsustainable where the service tax dispute concerned valuation of ocean freight charges and turned on interpretation rather than deliberate evasion. Because the valuation rule had already been treated as ultra vires, the taxpayer's understanding of liability was considered bona fide. The record did not establish suppression or intent to evade, and the existence of an earlier notice on the same issue also weighed against invocation of the extended period. The penalty was therefore set aside. Case-Laws Service Tax Tue, 14 Dec 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=415858