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2016 (8) TMI 548 - AT - Service TaxImposition of penalty - Section 76 of the Finance Act, 1994 non-payment of service tax - no wilful intention to evade tax payment of tax and interest on being pointed out by auditor before SCN - Held that: - any person who fails to pay service tax shall be liable to a penalty under the provisions of said section. There are no conditions or ifs and buts in the said Section. Hence, the contention of the appellant that they had not paid the service tax because of a bonafide mistake is not relevant. Section 78 of the Finance Act, 1994 - the freight charges shown in the Freight Ledger do not tally with the figures shown in the ST-3 Returns for 3 years continued suppression of facts Held that: - penalty under Section 78 is imposable if service tax is not paid with intent to evade payment of service tax by suppressing or concealing the value of taxable service. The appellant which is a limited company had suppressed the figures of freight charges paid in the ST-3 Returns filed. However, they had shown the correct figures in the ledgers, which was detected by the Central Excise Audit Officers. If, the audit had not detected the same, the service tax would not have been paid and the public exchequer would have been poorer by the said amount. Thus, penalty rightly imposed. Appeal dismissed decided against appellant.
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