Service tax
Medha Bhattacharyya
(Querist) 12 May 2014
This query is : Resolved
Service Tax department asks an assessee(Registered under maintenance & repair service and works at electrical Dept.of a company) to submit 2008-09 to 2013-14 F.Y.ST-3 return document,T.D.S.documents & 26 AS statement,Bank statement etc. of that Period.The assessee deposited all the documents.The assessee filed the return in tallying with T.D.S..But the service tax department send show cause notices by tallying with best of the three(whichever is higher).(1)Whether the Service Tax Dept can legally entitled to follow the best of the three rule(tallying with bank A/C,T.D.S. amount,26AS statement)?
(2)In Bank A/C statement sometimes mismatch with T.D.S.as because the assessee receive some security money as refund.(3)The assessee submitted an application before Income Tax Dept for correction of 26AS statement as it is mismatch with Form-16A issued by the comany.Whether the assessee can take such ground in reply of show cause?
Sankaranarayanan
(Expert) 12 May 2014
You reply with the real fact,with thta they will consider and ask to pay the arrived figure as demand. Then request the concern authority's drop penalty proceeding
Rajendra K Goyal
(Expert) 13 May 2014
You can mention in your reply the items of the Bank statement need to be excluded with reasons, while assessing the service tax. Consult a local tax consultant and reply the notice.
T. Kalaiselvan, Advocate
(Expert) 13 May 2014
I agree with the experts views to consult a local tax consultant who will be able to guide you properly on the subject.
R.V.RAO
(Expert) 13 May 2014
serv.tax dept. has extensive powers.they can arrive at the best of 3 ,in the interest of revenue.
as you are an aggrieved party.,you may approach the serv.tax appellate tribunal.
