TaxTMI 
TaxTMI 
2015 (1) TMI 232
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....cumstances of the case, the Tribunal was right in deleting the penalty imposed under Section 76 of the Finance Act, 1994 giving benefit under Section 80 of the Act, when the service provider has ralized the value of the service along with the service tax payable thereon from the service receiver but did not remit the service tax to the Government? 2) Whether in the facts and circumstances of the case, the Tribunal is right that since because the service tax has been paid before the issuance of the show cause notice, the service provider is not liable for penalty under Section 76 of the Act? 2. The respondent assessee is a travel agent and in the course of inspection on 3.6.04, the respondent found that the appellant commenced business in....
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....that the rigors of penalty under Section 76 is much lesser than the case of penalty under Section 78. There is no allegation of fraud or collusion in the present case and, therefore, invoking the provisions of Section 80, penalty under Section 76 was set aside, primarily on the ground that the entire amount of service tax was paid prior to issuance of show cause notice. The Tribunal was also of the view that since no appeal was filed against the order passed in Akbar's case (supra), the single member Bench decided the issue in favour of the assessee against which the present appeal has been preferred before this Court by the Revenue. 5. Heard Mr. K.Rajasekar, learned standing counsel appearing for the appellant and Mr.C.Ven....
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....uch service tax or erroneous refund, as determined under sub-section (2) of section 73, shall also be liable to pay a penalty, in addition to such service tax and interest thereon, if any, payable by him, which shall be equal to the amount of service tax so not levied or paid or short-levied or short-paid or erroneously refunded: Provided that where true and complete details of the transactions are available in the specified records, penalty shall be reduced to fifty per cent of the service tax so not levied or paid or short-levied or short-paid or erroneously refunded: Provided further that where such service tax and the interest payable thereon is paid within thirty days from the date of communication of order of the Central Excise Offi....
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....ffect: Provided further that if the penalty is payable under this section, the provisions of section 76 shall not apply. ********* 80. Penalty not to be imposed in certain cases. 2(1) Notwithstanding anything contained in the provisions of section 76 3[section 77 or [first proviso to sub- section (1) of section 78]], no penalty shall be imposable on the assessee for any failure referred to in said provisions, if the assessee proves that there was reasonable cause for the said failure. "(2) Notwithstanding anything contained in the provisions of section 76 or section 77 or section 78, no penalty shall be imposable for failure to pay service tax payable, as on the 6th day of March, 2012, on the taxable service referred to in sub-cla....