RAVAL TRADING COMPANY Vs. COMMISSIONER OF SERVICE TAX

JUDGEMENT

(1.) This appeal is filed by the assessee who has been saddled with penalties under Sections 76 and 78 of the Finance Act, 1994. At the time of admission of tax appeal, the Court had framed the following question of law.

(2.) The perusal of the question would suggest that the challenge of the assessee is against imposition of penalties on the grounds of fraud, collusion, willful misstatement, suppression of fact etc. However, at the time of hearing of this appeal, learned advocate Shri Gupta for the assessee raised additional contention that it was not open for the department to impose simultaneous penalties under Sections 76 and 78 of the Finance Act, 1994. Being satisfied that such a question does arise out of the impugned order of the Tribunal, we would frame additional question of law as under:

(3.) These questions arise in the following background: