2004 (4) TMI 450

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....hri A.K. Saxena, JDR, for the Respondent. [Order]. -  The appellants are aggrieved with imposition of personal penalty of Rs. 8,75,000/- under the provision of Rule 96ZQ(5) (ii) on the ground that they have failed to discharge their duty liability determined under the compounded levy scheme by 15th of the month and the balance 50% by the end of the month. As such they were issued three ....

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....r the 1st fortnight by 5th of the succeeding month. Drawing my attention to the said rule learned advocate submits that penalty equivalent to an amount outstanding from an assessee by 5th of the succeeding month can be imposed. In as much as by 5th of the next month the appellants had admittedly discharged the duty burden for both the fortnights, no penalty could have been imposed upon them in ter....

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....ed in sub-rule 3, he shall be liable to penalty in terms of clause (ii). As regards the quantum of penalty rule lays down that the same shall be either equal to the amount of duty outstanding by the 5th of the succeeding month or Rs. 5000/-, whichever is greater. In the instant case admittedly there is no outstanding amount from the appellants by 5th of the succeeding month in as much as the total....