URBAN IMPROVEMENT TRUST Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) HEARD both sides.

(2.) APPELLANT filed this appeal against the order -in -appeal whereby the penalty of Rs. 45,400/ - was enhanced to Rs. 1,27,300/ - by the Commissioner (Appeals -II), Central Excise and Customs, Jaipur.

(3.) THE contention of the appellant is that being a new levy they were not aware of the provisions relating to service tax therefore, they filed returns late. The contention of the appellant is also that where there is a mandatory penalty of equal amount of demand, the assessing authority has discretion to impose lesser amount of penalty. In view of the decision of the Tribunal in the case of Escorts JCB Ltd. v. CCE, New Delhi reported in 2000 (118) E.L.T. 650.