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2017 (4) TMI 945 - AT - Service TaxPenalty u/s 78 of FA, 1994 - GTA services - Scientific and Technical Consultancy services - appellant had utilised the services of a foreign service provider for management and maintenance service during the period 2007-08 to 2010-11 and paid an amount of ₹ 1,88,17,627/- to the foreign service provider - contention of the Department is that the assessee by not taking registration for Management and Maintenance or Repair services received from foreign service provider and by not disclosing the value of the said service in their returns are guilty of suppression of facts and are liable to pay penalty - reverse charge - Held that: - suppression of facts cannot be alleged on mere non-declaration in the returns when the issue whether service tax is payable on the said services was contentious as several litigations were pending - In the case of Vijay Television (P) Ltd. Vs. CST, Chennai [2008 (7) TMI 232 - CESTAT CHENNAI] it was held that mere non-declaration of details in the ST-3 returns cannot be a ground for invoking the extended period - penalty set aside. Penalty u/s 73(4A) and Section 77 - Held that: - Since the appellant has not filed proper returns and had not taken registration for the said service, appellant is liable to pay penalty u/s 77 - Since the appellant has paid service tax along with interest before issuance of SCN, Section 73(3) would apply and therefore the penalty imposed u/s 73(4A) is set aside. Appeal disposed off - decided partly in favor of assessee.
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