TaxTMI 
TaxTMI 
what are consequeces under service tax provisions if the registration is taken under a wrong category
Consequences - registration under wrong category
09 Feb 2010 
2 Replies 
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Registration under wrong service category is a procedural error; correct tax payment prevents it being treated as non payment.
Registration under an incorrect service category is a procedural mistake; if the correct tax amount has been paid, the error does not amount to non-payment. Administrative notices may be issued, but legal relief is available where misclassification was not intended to secure an unjustified abatement, and penalty exposure normally requires evidence of intent to improperly reduce tax. (AI Summary)
Registration under an incorrect service category is a procedural mistake; if the correct tax amount has been paid, the error does not amount to non-payment. Administrative notices may be issued, but legal relief is available where misclassification was not intended to secure an unjustified abatement, and penalty exposure normally requires evidence of intent to improperly reduce tax. (AI Summary)