section 87(b)(ii)

[sunil kumar]

how can deptt take action against parties under section 87(b)(ii) those who are defaulters and not deposit duty

AI Summary

Government Can Recover Unpaid Service Tax from Defaulters' Banks Under Section 87(b)(ii) of Finance Act, 1994 A user inquired about actions under Section 87(b)(ii) for defaulters not depositing duty. A respondent clarified that Section 87(b)(ii) relates to the Finance Act, 1994, allowing the recovery of declared but unpaid Service Tax without a show cause notice. If a defaulter owes money, the government can recover dues from entities like banks or insurance companies that owe money to the defaulter, overriding their internal rules. The government can also directly withdraw dues from accounts maintained by these entities, which must comply with such notices despite their regulations.