2009 (3) TMI 85

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.....7.1997. The appellant, however, did not pay service tax on the amounts collected by them for mandap keepers' service during the above period, nor did they even take steps for getting registered with the department. The service tax authorities, by a letter dated 4.9.2002, required the appellant to provide details of the service rendered during the above period. Subsequently, in October 2002, they summoned the appellant. On the basis of the information gathered from the appellant, the authorities issued a show-cause notice dated 29.1.2003, proposing to impose penalties on them under various provisions of the Finance Act, 1994. As the amount of service tax with interest had already been paid during the course of investigations, this show-caus....

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....hora of orders by this Tribunal. The Hon'ble High Court held that where the entire duty liability was discharged prior to issuance of show-cause notice, no penalty was to be imposed on the assessee under Section 11AC of the Central Excise Act. Some of the decisions of the Tribunal cited by the counsel are also to the same effect. A few decisions of the Tribunal are to the effect that any penalty under Sections 76/77/78 of the Finance Act, 1994 is not imposable on a service provider who paid service tax prior to issue of show-cause notice. The learned SDR has opposed the above argument of the counsel, on the strength of the Hon'ble Supreme Court's decision in UOI & Ors. vs. Dharmendra Textile Processors & Ors. 2008 (231) ELT 3 (SC). He has a....