TMI Blog2020 (11) TMI 537X X X X Extracts X X X X X X X X Extracts X X X X ..... he entire proceedings that non-payment of tax was attributable to reasons to deliberately evade payment of tax. Moreover, the appellant is a PSU in the instant case. The Courts have consistently held that there is a presumption that PSU would not have intention to evade payment of duty or tax. Penalty do not sustain - appeal allowed - decided in favor of appellant. - Service Tax Appeal No. 77331 of 2019 - 75401/2020 - Dated:- 4-9-2020 - Hon ble Shri P.K. Choudhary, Member (Judicial) For the Appellant(s) : Shri Rajeev Agarwal, C. A. For the Respondent(s) : Shri D. Halder, A. R. ORDER PER SHRI P.K.CHOUDHARY: The instant appeal has been filed by the assessee, M/s. Mahanadi Coalfields Ltd. against the Order-i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lty imposed by the adjudicating authority. 3. Sri Rajeev Agarwal, Chartered Accountant appeared for the appellant and Sri D. Halder, Authorised Representative appeared for the Revenue. 4. The Learned Chartered Accountant submitted that the penalty under section 78 of the Act can be imposed only in cases where fraud or suppression is involved with intent to evade payment of tax. He submitted that in their case, the appellant already paid the demanded tax amount before the issuance of Show Cause Notice and also paid interest of ₹ 4,87,193/- on 22.06.2019. He submitted that there was no deliberate action on the part of the appellant to evade payment of tax and therefore, penalty could not be imposed on them. He relied on several ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nal order. I find that no positive evidence has been brought on record in the entire proceedings that non-payment of tax was attributable to reasons to deliberately evade payment of tax. The Tribunal in the case of Bio-Med. Health Care Products (P) Ltd. relied by the appellant (Supra), has observed that : As regards imposition of penalty on the appellant for non-payment of the amount of ₹ 95,419/- under Rule 6 (3) of the Cenvat Credit Rules, 2004, non-payment of excise duty of ₹ 15,468/- on the scrap arising out of manufacture of parts of medical equipments, short payment of differential duty of ₹ 1,32,268/- in respect of the finished goods cleared for captive use and non-payment of service tax of ₹ 3,75,891/ ..... X X X X Extracts X X X X X X X X Extracts X X X X
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