TaxTMI 
TaxTMI 
IS THERE ANY PENALTY/INTEREST FOR NON FILING OF NIL SERVICE TAX RETURN FROM LAST 3 YEARS.
PENALTY FOR NOT FILING NIL RETURN
16 Oct 2012 
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Penalty for not filing nil service tax returns may be imposed; waivers available if sufficient reason is shown.
Penalty is leviable for failure to file service tax returns even when the tax payable is nil. No interest accrues for nil tax, but statutory penalties for delayed or non filing apply. A supervisory officer may reduce or waive penalty if satisfied there is sufficient reason for non filing; filing outstanding nil returns and applying for waiver is therefore recommended. The statutory scheme imposes an upper cap on the penalty and treats nil returns as subject to the same filing obligations and potential sanctions as other returns. (AI Summary)
Penalty is leviable for failure to file service tax returns even when the tax payable is nil. No interest accrues for nil tax, but statutory penalties for delayed or non filing apply. A supervisory officer may reduce or waive penalty if satisfied there is sufficient reason for non filing; filing outstanding nil returns and applying for waiver is therefore recommended. The statutory scheme imposes an upper cap on the penalty and treats nil returns as subject to the same filing obligations and potential sanctions as other returns. (AI Summary)