MANGAL SINGH Vs. CCE

JUDGEMENT

(1.) HEARD both sides.

(2.) THE appellant filed this appeal challenging the imposition of penalties imposed under Section 76 and 77 of the Finance Act.

(3.) THE contention of the appellant is that the demand is made in respect of the Man Power Recruitment Agency Services. The contention is that the appellant is an individual and not a commercial concern and only with effect from 16.6.05 the definition of this service was amended and instead of commercial concern the person was substituted, therefore, the appellant being individual are liable to pay Service Tax with effect from 16.6.05 whereas in the present case the demand is made from April 2005 to September 2005. The penalty is imposed on the ground that the appellant filed necessary returns for April 2005 to September 2005 and Service Tax was paid late. The contention is that the appellant comes under the scope of Service Tax with effect from 16.6.05 when the person has been substituted in stead of commercial concern, therefore, there is no question of late filing of returns prior to this date. This aspect has not been considered by the lower authority.