AI Structured Summary
Not yet generated for this judgment
Judgment
Revenue has come in appeal on the following substantial questions of law:
(i) Whether in the facts and circumstances of the case and in law the Hon''ble CESTAT is justified in reducing the penalty in the case of the Respondent who has not been able to prove that there was reasonable cause for the failure ?
(ii) Whether in the facts and circumstances of the case and in law the Hon''ble CESTAT is justified in reducing the penalty to the level below the minimum penalty prescribed under the law, which comes to Rs. 40,364/-?
Before the Tribunal, the only issue canvassed was whether the Commissioner (Appeals) has a power to reduce the penalty imposed u/s 76. Question as now framed, therefore, would not arise from the order of the Tribunal. Even otherwise considering Section 80 of the Finance Act, 1994, it is clear that there is power in the authority on showing reasonable cause, not to impose penalty or reduce the amount of penalty. That issue is fairly covered by the order of this Court in Commr. of C. Ex. and Customs Vs. D.R. Gade, .
Considering the above, there is no merit in the appeal which is accordingly dismissed.