S.R. ENTERPRISES Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) This application for waiver of pre -deposit of penalty imposed arose out of the order of the Commissioner (Appeals) who in the impugned order confirmed the penalties imposed under Sections 76 and 77 of the Finance Act, 1994 along with liability of payment of service tax. The applicant paid the service tax in full. Penalties of Rs. 1,47,212/ - under Section 76 and Rs. 3,600/ - under Section 77 were imposed.

(2.) The applicant pleaded that she discharged service tax up to June 1998 and stopped making payment only because the authorised Bank had refused to accept payment due to change of jurisdiction when reorganisation of the Commissionerate took place. The tax being new, she was not aware of the consequences of not filing the return. In any case the entire service tax payable has been paid. Pre -deposit of penalties be waived in view of special circumstances of the case.

(3.) Heard both sides.