25 July 2025
Section 68 is under the Central Excise Act, 1944, and deals with penalties for service tax related matters.
Section 68(1): Penalty for failure to pay service tax or any other duty within the time allowed. It imposes a penalty of up to 10% of the duty/service tax due.
Section 68(2): Penalty for not filing returns or furnishing incorrect information relating to service tax. It can extend up to Rs. 10,000 per default.
These sections are used by the department when there is a delay in payment or non-filing of returns, or submission of inaccurate data