Amendment in Sec.73

[Admin TMI]

Question - What are proposed amendment in Section 73 in Finance Bill 2015 ?

[Admin TMI]

Section 73 is being amended in the following manner:

(i) a new sub-section (1B) is being inserted to provide that recovery of the service tax amount self-assessed and declared in the return but not paid shall be made under section 87, without service of any notice under sub-section (1) of section 73,; and

(ii) sub-section (4A), that provides for reduced penalty if true and complete details of transaction were available on specified records, is being omitted.

AI Summary

Recovery of self-assessed service tax can be made under section 87 without prior notice, and reduced penalty provision omitted. Introduces a new sub section providing that self assessed service tax declared in the return but not paid shall be recovered under section 87 without service of any notice under section 73(1). Also omits sub section (4A), which had permitted a reduced penalty where true and complete transaction details were available on specified records, thereby removing that penalty mitigation.