2011 (4) TMI 946

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ntal strain and pressure suffered by her during the same period. The assessee has not brought on record adequate evidence for me to conclude that she had no intention to evade the tax demanded. The legal consequences follow. However, the penalty equal to twice the tax under Section 78 appears to be harsh. This penalty is reduced to an amount equal to the tax demanded. - ST/859 OF 2009 - 261 OF 2 .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... as well as the interest. Deciding the appeal filed before the Commissioner (Appeals), he sustained the order of the original authority as regards the service tax and interest and vacated the penalties ordered. The department filed an appeal against the order of the Commissioner (Appeals). The assessee did not file any appeal or cross objection. The Tribunal disposed of the appeal filed by the rev .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... service. It had correctly accounted the tax collected from its customers. However, it had not paid the tax due to the Government, but paid the same when the proceedings were initiated against the assessee. The fact that the assessee had collected the tax and retained the same until confirmation of the demand from the original authority established that the assessee had intentionally evaded the tax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ed imposed under section 78 and that equal to the tax imposed under section 76 of the Act are extremely harsh. It is prayed that the penalties may be waived. It is further submitted that the Commissioner had wrongly rendered the finding that the appellant had recovered tax from their clients and retained the same, when the department initiated the proceedings, the appellant had worked out the tax .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ears. It cannot be held that the assessee could manage the affairs of her business during the material period but could not pay the tax due owing to the mental strain and pressure suffered by her during the same period. The assessee has not brought on record adequate evidence for me to conclude that she had no intention to evade the tax demanded. The legal consequences follow. However, the penalty .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X