DEWAL TOURS AND TRAVELS Vs. CCE

JUDGEMENT

(1.) THIS appeal is directed against the Order -in -Appeal dated 16.12.2004 which upholds the confirmation of demand and penalties imposed on the appellants in the Order -in -Original.

(2.) THE relevant facts that arise for consideration are that the appellants are engaged in the business of renting Cab since June, 2000 and got themselves registered as Rent Cab Operator from 6.12.2000. The appellants however, did not file any return for the period June, 2000 to March, 2003 and show cause notice was issued to them, after a visit of the officers to their premises, asking them to show cause as to why demand of service tax of Rs. 1,00,161/ - be not demanded from them and why penalty be not imposed on them under Section 76, 77, and 78 of the Finance Act, 1994 for the violation of the provisions of Finance Act in respect of collection of service tax and not remitting the same to the Government. The appellants deposited part of the amount of service tax on 31.3.2004 and contested show cause notice. The adjudicating authority in his Order -in -Original confirmed the amount of duty and imposed penalty on the appellants under Section 76, 77 and 78 and also directed them to deposit the amount of interest as per Section 75. On appeal the appellate authority did not find merit in the appellants' plea and upheld the Order of the adjudicating authority in to -to. Hence, this appeal.

(3.) LEARNED Advocate appearing for the appellants submits that the appeal is directed only against penalties imposed under Section 76 and 78, He is not challenging all the penalties imposed on the appellants. It is the submission that penalty imposed under Section 78 is not imposable on them because there is no fraud, collusion, or mis -statement on the part of the appellants. In respect of Section 76 he submits that the amount of penalty imposed on them for non -payment of service tax is not warranted as they have not been directed by the authorities to produce the documents for verification. In the absence of any such direction they being a small scale operator were not aware of law, hence, a lenient view should be taken. He submits that penalty imposed under Section 77 the same plea is applicable.