APPLY OF AMNESTY SCHEME FOR NON-FILERS AND STOP FILERS

[S.C. WADHWA]

WE ARE SERVICE PROVIDER OF RENTING OF IMMOVABLE PROPERTY SINCE 1.10.2007. NO SERVICE TAX RECEIVED FROM TENANT BECAUSE DUE TO ONE CLAUSE WHICH WAS MENTIONED IN RENT AGREEMENT WHICH WAS EXECUTED MUCH BEFORE LEVY OF SERVICE TAX THAT' RENT IS INCLUSIVE OF ALL TAXES AT PRESENT AS WELLAS IN FUTURE'. WE PAID SERVICE TAX TILL 30.6.08 AND FILED S.T.RETURN ALSO. AND LATERON STOP PAYMENT AS WELLAS FILING OF RETURN.AFTER THE RECEIPT OF SUPREME COURT JUDGEMENT IN CASE OF RETAILERS, WE PAID SERVICE TAX WITHOUT INTEREST AND PENALTY FOR THE YEAR 2008-09 AND 2011-12 BUT NO RETURN WAS FILED. WE HAVE YET TO PAY S.TAX FOR THE YEAR 2009-10 AND 2010-11. BUT WE ARE NOW PAYING S.TAX  FROM 1.4.12 ONWARD REGULARLY AND HAVE ALSO FILED RETURN FOR THE QUARTER ENDING 30.6.12.TILL NOW WE HAVE NOT RECEIVED ANY NOTICE FROM DEPTT. PLEASE ADVISE.

REGARDS,

WADHWA

 

NOW OUR QUERY IS THAT WHETHER WE GET IMMUNITY FROM PENALTY AND INTEREST UNDER THE SCHEME OR NOT.

[YAGAY andSUN]

Maximum Penalty may be levied.

In the Budget, 2011 there was a scheme regarding payment of Service Tax within Six month from the date of Budget.  It seems that you have not availed that scheme.

 

AI Summary

Amnesty scheme eligibility for service tax non-filers may be unavailable if the amnesty window was not availed. Whether missing the limited amnesty window precludes immunity from penalty and interest for a service provider who stopped paying and filing service tax: the taxpayer resumed payments later and made some out-of-period payments without interest or penalty but did not avail the Budget 2011 scheme within its six-month window; consequently exposure to full penalty and interest for non-paid and non-filed periods remains unless a lawful waiver or a fresh applicable scheme is extended.