TMI Blog2014 (6) TMI 800X X X X Extracts X X X X X X X X Extracts X X X X ..... has not been numbered and not listed, the learned advocate insisted that the same should be considered as an appeal filed by them. - in the interest of justice, tribunal proceeded with to deal with the issue raised by the learned counsel. Extended period of limitation - disputing the demand in the cross objection - Held that:- in the returns filed, the details were not submitted and the appellants had given the details only on 9.8.2005. After the Supreme Court decision was received, it would be natural for the department to expect that assessee would pay the service tax but when they did not pay, notice has been issued. - Once the assessee is required to do assessments and pay the tax, it cannot be said that he is not aware of the oblig ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appeal memorandum, the ground for taking a view that penalty should have been imposed is in para 11 which is reproduced below: The said delay in payment of service tax on the part of the assessee in spite of the decision of the Apex Court being accorded in favour of the department shows the willful intention of the assessee from the very beginning not to comply with the tax liabilities in spite of the Apex Court s decision and to withhold payment of service tax to gain undue financial accommodation. The shelter taken by the assessee that they had a genuine and bonafide doubt of taxability of service which resulted in delay in making payment of service tax is not acceptable in as much as they were fully aware of the taxabi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ey had a case for non-payment of service tax. That being the position, I am unable to agree that there was willful intention on the part of the assessee not to comply with tax liabilities. When the counsel was enquired as to why there was delay even after the decision of the Supreme Court, learned counsel submitted that appellant had some financial difficulty and they had not collected the tax and hence there was some delay. In any case intention to evade duty and suppression of facts etc. have not been invoked specifically in the show-cause notice and penalty under Section 78 of Finance Act 1994 has also not been proposed. Under these circumstances I consider that the appellant s submission that reasonable cause for delay in payment of tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gation and it attained finality there is an obligation on both sides to implement the final decision. Expecting a show-cause notice to be issued for implementing the decision of the Hon ble Supreme Court and claiming that the show-cause notice is barred by time when Hon ble Supreme Court has held that tax was leviable to be paid, in my opinion amounts to not obeying the law of the land. On this ground, the respondent has no case against the confirmation of demand and interest. The next submission was that no suppression was invoked. The learned A.R. submitted that in the show-cause notice, Section 73(1)(a) of Finance Act 1994 has been invoked and this is sufficient. I find that the show-cause notice, has already given the ground for the dem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f law. Once the assessee is required to do assessments and pay the tax, it cannot be said that he is not aware of the obligation of self-assessment and the consequence of its failure to follow the law. Therefore, if the facts are briefly explained in the notice and the relevant sections are invoked and if the demand has been issued beyond one year any prudent assessee would have to conclude that extended period is being invoked in this case. Therefore, I am unable to accept the view and the submissions made by the learned counsel that show-cause notice has to be considered as time barred and demand itself has to be held as unsustainable and create another round of litigation by holding that the amount paid by the appellant was not payable l ..... X X X X Extracts X X X X X X X X Extracts X X X X
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