Liability on legal heirs to pay service tax
Somsuvra Mukherjee
(Querist) 09 July 2018
This query is : Resolved
Respected Experts and my learned friends,
A partnership firm consisting of two partners (father and mother) used to render service of manpower. Adjudication of CCE resulted to levy of tax amounting to Rs. 30,00,000 for 2008-09. Appeal was preferred before CESTAT. Rs 3 lakhs paid. One partner died in 2010.Partnership ended as only one partner. Business stopped almost 99 % . Second partner also died in 2013. Business completely stopped. Appeal is pending. Received notice to appear before CESTAT. Matter referred to Division Bench of CESTAT.
Is the legal heir liable to pay Service Tax ? Business didn't exist after 2010 . i.e death of first partner.
If a lawyer appears, on whose power and whose behalf he is going to represent the matter as SCN issued on the partners in 2009 and appeal was preferred in 2010.
Should the lawyer represent the case suo motu on behalf of the legal representative as he has received the notice to appear a few days back on behalf of his deceased parents ?
But substitution has not yet taken place and legal heir is not yet in the record of the tribunal.
Legal heir didn't enjoy any estate of the deceased except a bhk flat and some cash.
What will be the stand.
Respected Experts, Kindly share your views.
kavksatyanarayana
(Expert) 11 July 2018
One of the legal heirs of the deceased step into the shoes of the deceased partner. As the case is still pending, you have to give vakalat to the same lawyer to represent on behalf you. consult your own Advocate for guidance. you have to pay tax.
