TaxTMI 
TaxTMI 
Now Service Tax Department is pressing hard for payment of service tax value shown in 26AS under 194C for the period of 2012-13. it is a mis-match of ST-3 return differential amount. 5 years time limit for demand has already been expired. should assessee pay that 2012-13 amount after 5 years though the amount is liability to pay to Govt. exchequer. under third party data verification under section 15A & B asking documents for verification. how they will confirm taxable amount. case seems heat by limitation of time. please guide.
Third party data verification 26AS Vs. ST-3 return for the period 2012-13 no scn department writes letter to deposit differential amount of taxable value on the basis of 26AS
22 Oct 2018 
3 Replies 
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Limitation on tax demands may bar service tax recovery, but recovery possible if tax was collected from recipients.
Reconciliation shows a mismatch between Form 26AS entries and ST 3 returns for 2012-13 and the department seeks the differential. The operative legal point is whether the demand is time barred: limitation likely applies subject to the statutory definition of the relevant date. Practical steps include reconciling accounts because not all 26AS amounts are taxable, responding to verification notices, reviewing contractual terms about tax inclusivity, and noting that tax actually collected from recipients may still be recoverable. (AI Summary)
Reconciliation shows a mismatch between Form 26AS entries and ST 3 returns for 2012-13 and the department seeks the differential. The operative legal point is whether the demand is time barred: limitation likely applies subject to the statutory definition of the relevant date. Practical steps include reconciling accounts because not all 26AS amounts are taxable, responding to verification notices, reviewing contractual terms about tax inclusivity, and noting that tax actually collected from recipients may still be recoverable. (AI Summary)