Dear sir / madam ,
I was teaching in a coaching classes on contract basis and as a full time faculty . As I was not aware any thing about service tax laws , I never claimed from company and never paid to government and did not even got myself registered under service tax laws .
Now after so many years i have received a notice from service tax department to pay service tax along with interest and penalty which comes to around 14 laks .computation from 2013 - 14 onwards
I am not understanding what to do . Is there any option with me or I will have to pay the same .
The officer has calculated service tax liability as to approx 8 lakh and the balance is interest and penalty .
pls suggest
Reg
Prem Alag
Service Tax Department Demands 14 Lakhs from Contract Teacher; Coaching Center May Be Responsible if Exemption Exceeded. An individual teaching on a contract basis at a coaching center received a notice from the service tax department demanding payment of service tax, interest, and penalties totaling approximately 14 lakhs, calculated from 2013-14. The individual was unaware of service tax obligations and did not register or pay the tax. Respondents advised that the coaching center, as the service provider, is responsible for the service tax if the threshold exemption is exceeded. They suggested verifying the grounds for the demand and clarified that services provided on a contract basis are not considered employment services exempt from service tax. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
