Commissioner Of Central Excise vs Gujarat Carbon & Industries Ltd.

Whether service availers (recipients) can be penalized under sections 76 and 77 of the Finance Act 1994 for non-payment of service tax during the period 16th November 1997 to 1st June 1998, and whether retrospective validation under section 117 of the Finance Act 2000 makes them liable for assessment under section 73 --- Held No, as during the relevant period, service availers were not required to file returns under section 70, and section 73 applies only to those liable to file such returns, a position not altered by the retrospective amendment.