TaxTMI 
TaxTMI 
2025 (3) TMI 781
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....verable from the party. I also appropriate Rs.8,41,552/-1 already deposited by the party as per verification report by the Division. Further balance amount Rs.3,49,760/- is liable to be recoverable from the party. 2. I impose penalty of Rs.5,000/- u/s 77 of the Act for violation of Section 70 readwith Rule 7 of the Rules. 3. I impose penalty Rs.3,49,760/- under Section 78 of the Finance Act, 1994. However, penalty imposed under this Section shall stand reduced to 25% of the Service Tax amount if the entire dues including Service Tax, Interest and penalties imposed as above are paid within 30 days from receipt of this order." 2.1 Appellant is registered as service provider, providing services mainly to M/s Hindalco Industries Ltd., Renukoot, Sonbhadra. 2.2 On scrutiny of records of M/s Hindalco Industries Ltd. as service recipient, it was observed that appellant was providing taxable services under the category of Maintenance & Repair Service, Manpower Recruitment Agency Service to the service recipient. However, they have not discharged the service tax due in respect of these services. 2.3 After completion of investigation and inquiry, a show cause notice dated 11.10.2010 w....
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....e party is as under:- Summary of calculation for tax liability of M/s United Construction, JR-252, Hindalco Colony, Renukoot, Sonebhadra Details Amount Amount Gross Turnover as per SCN 1,13,39,820.00 Less PF included in gross turnover 374,784.00 Less service prior to 16.06.2005 269,037.00 Less service tax paid by Hindalco 405,878.24 23,58,224.51 Net taxable turnover 89,81,595.49 Service Tax 12,71,608.20 Less tax already paid as Annexure-5 8,41,552.00 Net tax payable 4,30,056.00 That the party submitted that he is a petty contractor who is not having enough knowledge about the complex provisions of service tax and at the same time there is no help available in the form of outside consultants/experts in the subject from whom proper guidelines could have been obtained. That the party has taken registration on its own and has been depositing tax and return thereafter on regular basis. That the party is ready to deposit the service tax, duc as per the chart for calculation of tax submitted with the reply, along with interest In view of the submissions party prays for waiver of penalt....
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....sue involves bonafide interpretation of law. 3.1 The appellants also filed separate application under Section 35 F requesting waiver of pre deposit. However, I proceed to dispose off the appeal finally and therefore, no pre deposit is insisted. 4. Personal Hearing was held on 28.02.2012 when Sri Rajeev Kumar Srivastava, Authorized Representative of the appellants appeared and filed written submissions. He reiterated contents of appeal as well as the written submissions. None appeared from the department for personal hearing 5. The appellants in their written submissions filed during personal hearing, have further contended that- * The appellant was not very conversant and was lacking with the stringent provisions of law and to interpret the same in the legal framework, They should be given rellef under the provision of Section 80 of the Act; * They had deposited entire service tax against the demand raised by the department along with interest theron. Copy of challan was enclosed, * Since the due taxes had been paid in full, a lenient view should be taken. 6 I have gone through the case records. The department has alleged that the appellants suppressed the gross val....
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....hus remaining liability on the aprt comes to Rs 11,91,312/- (Rs 13,02,420/- - Rs. 1,11,108/-) S No Particulars Amt Service Tax (10%) Edu Cess (2%) H S Ed Cess Total 1 Service tax paid by M/s Hindalco Indus Ltd 8,63,147.00 86,315.00 1,726.00 - 88,041.00 2 Amt received prior/ upto 16.06.2005 2,26,153.00 22,615.00 452.00 - 23,067 10,89,300.00 1,08,930.00 2,178.00 - 1,11,108.00 Thus the amount of rs 11,91,312/- (Rs 11,59,995/- Service Tax + Rs 23,201/- Education Cess + Rs 8,116/-. H S Ed Cess) is liable to be confirmed against the amount as demadned in SCN. ........ However I observe that the party has deposited the amount of Rs. 8,41,552/- sup motto before the issuance of Show Cause Notice. Rs 8,41,552/- deposited by the party against his liability is liable to be appropriated towards the Government Exchequer. On the basis of above discussions, I hold that an amount of Service (including the Service tax payable on the amount for PF/ Bonus) of Rs 11,91,312/- (Rs 11,59,995/- Service Tax + Rs 23,201/- Education Cess + Rs 8,116/-. H S Ed Cess) is liable to be confirmed and recovered from the party." After ....