2019 (10) TMI 172

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.... the nature of submissions : (a) Whether, in the facts and circumstances of the present case, the Tribunal was correct and justified in upholding the imposition of penalty and dismissing the appeal of the Appellant?   3. The Appellant is engaged in providing "Rent-a-Cab Service". This service is a taxable service which falls under Section 65(91) read with section 65(105)(o) of the Act. During the period 2010-2011 to 2012-2013, the Appellant did not file the ST-3 returns nor paid service tax within the stipulated time under the Act. The Revenue by various letters called upon the Appellant to pay service tax and the interest thereon. However as the Appellant failed to respond, the proprietor was summoned and his statement was....

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....It found on facts that service tax was paid only consequent to investigation of the Respondent. It also records the fact that in some cases it was noticed that the Appellant had collected the service tax from the recipient of service but did not deposit the same with the Government exchequer as its statutory liability. In these circumstances, the Tribunal held that the defence of payment of service tax being prior to the issue of show cause notice would not be available to the Respondent as the amounts were deposited only on account of the investigation. Further Tribunal also records as a finding of fact that the Appellant has not been able to prove its bona-fides regarding non-payment of service tax within the stipulated time frame. In the....

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....a subject of challenge before the Tribunal or before us. The Appellant does not dispute that so far as demand is concerned the extended period of limitation is applicable. It is only in respect of penalty which is imposed under Section 78 of the Act that it is urged on behalf of the Appellant that no penalty should have been imposed thereunder. It is submitted that as the Appellant had not only paid service tax but had also paid the interest thereon prior to the issue of show cause notice. Therefore in these circumstances in terms of Section 73(3) of the Act, no show cause notice, much less penalty should be imposed. This submission completely ignores Section 73(4) of the Act which excludes application of Section 73(3) of the Act in case of....