Form A2 Non-submission Demand

[Murali Chakravarthi]

I am in receipt of demand notice from ST dept for non-submission of Form A2 for services to SEZ. SEZ customers express their inability to submit Form A2. Request Kindly share non-submission of Form A2 to department is procedural lapse and hence minimum penalty levied.
I am planning to file Com(appeals) in this issue. Pl give expert opinion.

[KASTURI SETHI]

You are required to first exhaust departmental channel. File reply to the demand notice. The case will be decided by the Assistant/Deputy Commissioner. If demand is confirmed along with interest and penalty is imposed, you should file appeal against that Adjudication Order (Order-in-Original) with the Commissioner(Appeals). At this stage you cannot file appeal with the Commissioner(Appeals). Notice is an opportunity to defend yourself with evidence. Do not treat it as procedural lapse.

AI Summary

Non submission of Form A2: respond to the demand notice and exhaust departmental remedies before appealing. Demand for non submission of Form A2 for services to SEZ requires replying to the demand notice and exhausting departmental remedies; an appeal to the Commissioner (Appeals) is premature until an adjudication order confirms demand and imposes penalty and interest, after which an appeal may be filed.