Key Pointers:-

• The Appellant, Kamal Industries submits that there was no tax liability on services of Repairs and Maintenance before 16.06.2005.
• Subsequently, the Law was amended, the service of Repair and Maintenance became taxable irrespective if there is any contactor not.
• It was submitted that without any malafide intention the service tax payment was escaped as were not aware about the change in law.
• Appellant relied on Lal Singh v/s CCE and ST Meerut and also relied in the decision of National Securites Depository Ltd. v/s CST observing that the appellant is eligible for cum-tax benefit
• Appellant submits that he is not subject to penalties imposed under section 76, 78 and 80 of Finance Act,1994relying on Raval TradingCompany case.
• The Tribunal observed that levying of service tax on Repair and maintenance service is payable after 16.05.2005. In the present case, the period is involved in 2006-07 and 2008-09.
• The Tribunal didn't agree to the contention of Appellant submitting that he didn't know the law as Ignorance of law is no excuse and the appellant had not even made a registration nor filed any returns.
• Relying on National Securites Depository Ltd. the Tribunal observed that Appellant is entitled for cum-taxbenefit. Further, simultaneous penalties under Section 76 and 78 cannot be imposed, thus the appellant is not liable for penalty under Section 76
• The Appeal is partly allowed.