Krishna Kumar, Member (J) - (1.)HEARD both sides.
(2.)THE ld. Representative for the appellant submitted that the total Service Tax payable is Rs. 9,600/ - which has already been paid by the appellant along with the interest. He submitted that a penalty of Rs. 500/ - for non -registration, Rs. 2,000/ - for delay in filing Service Tax return and a penalty of Rs. 9,600/ - for delay in payment have been imposed on the appellant. He submitted that since the 100% penalty has been imposed and as the appellant has already paid service tax along with interest, a lenient view may be taken in the matter and the 100% penalty may be set aside.
(3.)THE ld. JDR submitted that there is a delay of one year in payment of Service Tax and as such there is full justification in imposition of penalty.
After hearing both sides and perusal of the records, I consider that imposition of 100% penalty is too harsh and therefore taking a lenient view, I reduce the penalty of Rs. 9,600/ - to Rs. 960/ - being 10% of the ST amount. As regards the other penalties the same are upheld. The appeal, thus, stand disposed off at the stay stage itself by reducing the penalty to Rs. 960/ - and upholding other penalties.