One of our clients used to file service tax returns upto 2004, when the threshold limit for service tax was Rs. 3 or 4 lacs. But afterwards the limit was raised to Rs. 8 lacs, and our client stopped filling service tax return as his receipts were less than Rs. 8 lacs.
Now whether the nil return was required to be filed by him?
As per Section 70 of Finace Act, 1994, every person liable to pay service tax will file service tax return, therefore in my view my client was not required to file service tax return.
Also tell me the procedure to surrender the service tax registration and whether my client can surrender the service tax registration now?