HEAVY ENGINEERING WORKSHOP Vs. COMMR. OF C. EX. & S.T.
CUSTOMS EXCISE AND GOLD(CONTROL) APPELLATE TRIBUNAL
Heavy Engineering Workshop
Commr. of C. Ex. And S.T.
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ASHOK JINDAL,MEMBER (J) -
(1.)THE appellant is in appeal against the impugned order imposition of penalty under Section 76 of the Finance Act, 1994. The facts of the case are that on their own detection by the appellant, service tax was paid although with delay along with interest. Thereafter, show cause notice was issued to appropriate the amount paid by the appellant and for imposition of penalty. Adjudication took place, penalty was imposed under Section 76 for delayed payment of service tax which was confirmed by the learned Commissioner (Appeals). Therefore, appellant is before me.
Learned Counsel for the appellant submits that in this case, the appellant on their own detection, paid the service tax along with interest, therefore as per Section 73(3) of the Finance Act, 1994, show cause notice was required to be set aside. In these circumstances, penalty is not imposable.
(2.)ON the other hand, learned AR supports the impugned order.
(3.)HEARD the parties, Considered the submissions. Admittedly in this case, the appellant has paid the service tax along with interest in their own detection. In these circumstances, show cause notice was not required to be issued as per the provisions of Rule 73(3) of the Act. But without application of mind, the show cause notice was issued and thereafter the same was adjudicated and penalty was also confirmed against the appellant. This shows the arrogance of the official for imposing penalty on the appellant. As discussed above, that the show cause notice was not required to be issued to the appellant. Therefore, I set aside the penalty imposed on the appellant by allowing the appeal by setting aside the impugned order.
(dictated and pronounced in the open Court)
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