Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2017 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (11) TMI 92 - AT - Service TaxTime limitation - on subsequent audit for the disputed period, it was detected by the audit wing that the appellant had short paid Service Tax amount of ₹ 57,390/-. By invoking the extended period of limitation, the said amount was confirmed against the appellant - Held that: - Since the activities of the appellants were already in the knowledge of the Department at the time of conducting the first audit and admittedly no discrepancies were noticed by the Audit Wing, it cannot be said that there is element of suppression, fraud etc., on the part of the appellant in defrauding the Government revenue - extended period of limitation cannot be invoked for confirmation of the Service Tax demand - demand set aside - appeal allowed. Penalty u/s 78 for the period April 2004 to June, 2004 - Held that: - the Department has not specifically alleged regarding non-maintenance of statutory records by the appellant. Since the appellant complied with the statutory requirement of maintenance of proper books of accounts and did not pay the Service Tax due to the reason of financial difficulties, non-payment of such tax amount cannot be a defensible ground for imposition of penalty under Section 78 ibid, which specifically provides that in case of fraud, suppression etc. such provisions can only be invoked - penalty set aside by invoking section 80. Interest liability - Held that: - proper quantification of the interest amount is required in this case. Therefore, the matter is remanded to the original authority for quantification of the actual interest liability - matter on remand. Appeal allowed in part and part matter on remand.
|