Nil Return not File

[Asked by Guest]

Hi All,

I have just taken a Pvt Ltd name from some1, vat & Cst number in this company was taken in 2014 but due to no business activity till now the earlier onwer had not file even nil return of Vat & cst..

my question is if I start using this number for my trading business purpose, will there be any chance of penalty for not filing nil return for last 3 years??? if yes what will be the amount ??

AI Summary

Nil return filing obligation can trigger penalties for non filing; state rules and appeal options affect ongoing tax liability.
Nil return filing obligations apply to VAT/CST registrations even where there has been no business activity; many states require periodic filing of returns and non-filing of nil returns can attract a fixed penalty per return. The applicable sanction and procedural remedies depend on state law; a registered proprietor who inherited a registration with no transactions may appeal to the assessing authority to seek waiver or cancellation of penalty demands and should verify return frequency and local rules.