ORDER
M.P. Bohra, Member (J)
1. I have heard Shri V.S. Bengani, Prop, of the Company and Shri T.K. Kar, ld. SDR for the Revenue.
2. The provisions for the penalty for failure to furnish returns have been made in Section 77 of the Finance Act, 1994 which were amended from time to time. From 1996-1997, the penalty for non-filing/late filing of the quarterly/six monthly returns was calculated on the basis of delay for per day. The provisions were amended and the penalty for failure to furnish prescribed returns were made punishable from per day to per week till the failure continues in the year, 1998.
3. The provisions have been subsequently amended and the penalty for the failure to furnish prescribed returns have been made up to Rs. 1,000/- only. In the present case, the consolidated penalty of Rs. 79,300/- has been imposed by the Deputy Commissioner of Service Tax Cell, Kolkata-I, which is not permissible in the law.
4. In view of the discussions made above, the impugned order of the Deputy Commissioner is set aside and the case is remanded back to the Deputy Commissioner for disposal in accordance with law after hearing both sides.
(Pronounced on 8-7-2004)