Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2023 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (4) TMI 769 - AT - Service TaxLevy of penalty u/s 77 and 78 of the Finance Act, 1994 - evasion of service tax - appellant collected service tax from the service receivers but failed to deposit the service tax amount so collected with the Government Treasury - case of appellant is that they were under severe financial crisis - HELD THAT:- Financial Crisis cannot be a reasonable cause for non-payment of service tax even though collected from the customers but not deposited with the Government. Also, the process of payment of collected service tax was commenced only after the Department initiated investigation and issued the demand notice to the appellant. The circumstances of financial difficulty in arranging the funds for payment of service tax collected and raising funds for the treatment of her daughter cannot be a ground to invoke Section 80 for setting aside the penalty imposed under Sections 77 and 78 of the Finance Act, 1994. Appeal dismissed.
|