ORDER
P.K. Das, Member (J)
1. Heard both sides and perused the records.
2. The applicant filed this application for waiver of pre-deposit of service tax of Rs. 4,13,800/- and penalty of equal amount alongwith interest of Rs. 41,300/-under Section 76 for late deposit of service tax. The learned Advocate appearing on behalf of the applicant submits that they have deposited the entire amount of service tax alongwith interest before issue of show cause notice. He submits that, a new levy introduced on 10.09.2004 and therefore, there was a delay of depositing the tax arrear. He also submits that they have deposited the penalty of Rs. 2,000/- under Section 77. He also submits that there is no willful suppression of facts and therefore, penalty cannot be imposed in this case.
3. The learned authorized representative (DR) appearing on behalf of the respondent submits that they have disputed the imposition of penalty of Rs. 4,13,800/- under Section 78. Therefore, amount of penalty of Rs. 41,300/- under Section 76 for late deposit of the tax should be paid by them at this stage.
4. After hearing both the sides and on perusal of the records, it is revealed from the impugned order that the Central Excise Officer detected the non-payment of tax by the applicants. As such, the applicant failed to make out a case for waiver of total amount of penalty. Accordingly, I direct the applicant to deposit a sum of Rs. 25,000/- towards penalty within six weeks and report compliance on 30.04.2007. Upon deposit of the said amount, the pre-deposit of balance amount of penalty is waived till the decision of the appeal.
(Order dictated and pronounced in the open Court)