TaxTMI 
TaxTMI 
penalty on service tax
X X X X Extracts X X X X
X X X X Extracts X X X X
....enalty on service tax<br> Query (Issue) Started By: - Suprakas Chaudhuri Dated:- 27-8-2012 Last Reply Date:- 27-8-2012 Service Tax<br>Got 2 Replies<br>Service Tax<br>Service tax on rent from immovable property Rule 7C of service tax rule 1994 provides penalty for late submission of return. Section 80 on the other hand, inserted by Finance Act,2012 provides for non- imposition of penalty in case ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....of service tax on rent from immovable property provided the taxes due as on 6.3.2012 along with interest are paid within 6 months from the passing of the Finance Bill, 2012 (passed on 28.5.2012). Since service tax returns could not be filed without payment of taxes, can the penalty for late submission of returns be imposed ? What would be the due dates for filing these returns due from 2007 where....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... service tax is paid within the timeframe of Section 80(2)? Reply By Pradeep Khatri: The Reply: Rule 7C was inserted in the Budget'2011 to discourage the assessee who don't submit their returns within prescribed time limit. Rs. 20000/- is the maximum penalty, has been imposed in this rule, if the returns have been filed after 30 days. While Section 80(2) was introduced to speed up the service t....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ax amount stucked up in the most disputed taxable service "Renting of Immovable Property". If any assessee who has taken this facility as mentioned in the Section 80(2) of the Finance Act and paid the overdue amount with interest with in Six Months from the passing of the Finance Bill, 2012, then, no penalty will be leviled. This non levi of penalty is extended upto the amount of service tax on R....
X X X X Extracts X X X X
X X X X Extracts X X X X
....enting of Immovable Property which was earlier not being paid by the service providers. Hence, penalty for non filing of returns will be levied despite of introduction of Section 80(2) in the Budget' 2012. As even if this renting of immovable property was an disputed taxable service, even then, service providers have to comply with the provision of service tax laws. Service providers, were requi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....red to mention this amount in the service tax return (despite of non payment of service tax) for determining the service tax liablity. Hence, Department will surely impose the mandatory penalty accordingl the Rule 7C. Reply By Pradeep Khatri: The Reply: Even during the hearing on this matter, the Hon'ble Delhi High Court had ordered that assessees are required to furnish their returns incorpor....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ating the taxable amount on Renting on Immovable Property for determining the tax liability.<br> Discussion Forum - Knowledge Sharing ....