P. DAYANANDA PAI Vs. COMMISSIONER OF SERVICE TAX

JUDGEMENT

(1.) THIS appeal is directed against the Order -in -Appeal No. 13/2007 -S.T., dated 21 -3 -2007.

(2.) THE relevant facts that arise for consideration are that the appellant, a provider of "Real Estate Agency" service, had failed to obtain registration certification and pay the service tax due thereon, under the provisions of Service Tax Act and Rules. On registering an offence case, the appellant paid a sum of Rs. 2,35,119/ - along with interest during November 2005 and the balance amount on issue of show cause notice. The lower authority, after issue of show cause notice, confirmed the demand of Rs. 2,52,875/ - along with interest and also appropriated the said amount of Rs. 2,52,875/ - towards the tax and Rs. 61,518/ - towards the interest and also imposed penalty of Rs. 100/ - per day under Section 76 and equivalent amount of penalty of Rs. 2,58,875/ - under Section 78 of the Finance Act, 1994. The appellant accepted the payment of Service Tax as well as the liability to interest but challenged the imposition of penalty under Sections 76 and 78 of the Finance Act, 1994 before the learned Commissioner (Appeals). Learned Commissioner (Appeals) after considering the submissions made before him, upheld the Order -in -Original and rejected the appeal filed by the appellant. Hence, this appeal.

(3.) LEARNED Departmental Representative submits that the appellant had taken registration for the services from the department in November 2004, but paid the Service Tax along with interest for the period 1999 to 2004 in November 2005 only. It is his submission that in view of this, the orders of the both the lower authorities are correct and does not require any interference.