TaxTMI 
TaxTMI 
2019 (12) TMI 590
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....ad "Supply of Tangible goods services and were paying taxes and filing the said returns. The appellant purchased various capital goods and have availed Cenvat Central Excise Duty paid by them, on the same as the capital goods were used for providing taxable output service. During the course of Audit of the appellant it was observed that M/s. Bharat Construction and mining Co. have sold some capital goods during the year 2014-15 and 2015-16 and did not reverse the Cenvat credit availed under the Rule 3(5A)(a) of Cenvat Credit Rules. On being pointed out by the audit the appellants have paid immediately credit of Rs. 41,69,452/- along with interest of Rs. 4,13,670/- before issue of Show Cause Notice The appellants were issued a Show Cause Not....
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....or the appellant submits that the appellants are eligible for the benefit provided under section 73(3) of the Finance Act,1994 as they have paid duty along with interest before the issuance of show cause notice. He submits that as there was no suppre3ssion of facts etc. provisions of Section 73930 of the Finance Act, 1994 are applicable to them and no show cause notice ought to have been issued to them and confirmed. Therefore, he submits that the impugned orders are not maintainable in law. He relies upon the following: (i) CBEC Circular No.137/167/2006-CX4 dated 03.10.2007. (ii) Adecco Flexione Workforce Solutions Ltd 2011-TIOL-635-HCKAR- ST . (iii) The Lalit Ashok 2018-TIOL-3658-CESTAT-Bangalore. (iv) Tidewater Shipping Pvt.L....
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.... not been paid by reason of fraud or colluding or willful misstatement or suppression of facts. Reduction of penalty in respect of the period 16.5.2015 onwards; as 25% penalty has not been paid within 30 days of receipt of the order in original the effect will not be applicable. Therefore the learned Commissioner (Appeals) should have not changed the penalty of Rs. 21,98,014/- for the subsequent year. 7. Heard both sides and perused the records of the case. For a better appreciation of the legal provisions in the matter it is beneficial to go through the relevant provisions of law. (i) Section 73 (3) of the Finance Act, 1994 reads as "73(3).- Where any service tax has not been levied or paid or has been short levied or short paid or ....
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.... is required to discuss the matter with the assessee and advise him to follow correct procedure in future. It is also referred in the said manual that after such submission of audit report, in cases where the disputed amount have not already been paid by the assessee at the spot, demand notices are issued by the department for their recoveries. EA 2000 audit was therefore held to be participated audit. Likewise CERA audit is conducted by the Comptroller and Auditor General of India in respect of receipt and expenditure of the Government of India. It also discharges revenue audit which covers central excise, service tax and customs laws during which time the assesses were examined by CERAQ audit party to point out the deficiencies, leakage o....
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....rsons who are paying tax with interest for delayed payment. It is high time, the authorities will change their attitude towards these tax payers, understanding the object with which this enactment is passed and also keep in mind the express provision as contained in sub-Se.(3) OF Sec.73. The Parliament has expressly stated that against persons who have paid tax with interest, no notice shall be served. If notices are issued contrary to the said Section, the person to be punished is the person who has issued notice and not the person to whom it is issued. We take that, in ignorance of law, the authorities are indulging in this extravaganza and wasting their precious time and also the time of the Tribunal and this Court. It is high time that ....