Service tax return not submitted
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
16 October 2013
my client has taken service tax registration no. in jan 2012 .,but not provide any service till today. he wants surrender service registration no. whats amount may pay for penalty. compounding of penalty available or not?
urgent reply me?
urgent reply me?
CA Pallav Singhania
(Expert)
16 October 2013
No Need to file Service Tax return (ST-3) when no service is rendered during the relevant period and even not required to opt for VCES,
Citation: M/s Suchak Marketing Pvt Ltd Vs. Comm. of Service Tax, Kolkata [2013 (6) TMI 641]
“Provided also that where the gross amount of service tax payable is nil, the Central Excise officer may, on being satisfied that there is sufficient reason for not filing the return, reduce or waive the penalty.”
regards,
Citation: M/s Suchak Marketing Pvt Ltd Vs. Comm. of Service Tax, Kolkata [2013 (6) TMI 641]
“Provided also that where the gross amount of service tax payable is nil, the Central Excise officer may, on being satisfied that there is sufficient reason for not filing the return, reduce or waive the penalty.”
regards,
Message likes :
1 times
16 October 2013
I have explained the procedure to surrender ,in reply to the previous query which may be followed.
Upon online submission to surrender the registration , department may ask to file NIL returns from January 2012 to September 2013 or to file an 'idemnity bond' affirming to indemnity the government to the extent of any revenue loss that may occur due to registration surrendering.
If so, act accordingly.
Further, the department may initiate penaty proceeding for non-filing / delay in filing retuns. If so, seek waiver as per proviso to rule 7C of the Service tax Rules,1994.
Upon online submission to surrender the registration , department may ask to file NIL returns from January 2012 to September 2013 or to file an 'idemnity bond' affirming to indemnity the government to the extent of any revenue loss that may occur due to registration surrendering.
If so, act accordingly.
Further, the department may initiate penaty proceeding for non-filing / delay in filing retuns. If so, seek waiver as per proviso to rule 7C of the Service tax Rules,1994.
Message likes :
1 times
17 October 2013
Agreed with Aryan.
Message likes :
1 times
18 October 2013
Aryan Ji
I got your PM also. FAQ released by the department clearly says NIL return has to be filed. So department is insisting to file NIL returns irrespective of surrendering or continuing the registration.
Please see the relevant extract given below:-
Question - Is filing of return compulsory even if no taxable service provided or received or no payments received during a period ( a particular half year)?
Answer- Filing of return within the prescribed time limit is compulsory, even if it may be a NIL return,failing which penal action is attracted.
I got your PM also. FAQ released by the department clearly says NIL return has to be filed. So department is insisting to file NIL returns irrespective of surrendering or continuing the registration.
Please see the relevant extract given below:-
Question - Is filing of return compulsory even if no taxable service provided or received or no payments received during a period ( a particular half year)?
Answer- Filing of return within the prescribed time limit is compulsory, even if it may be a NIL return,failing which penal action is attracted.
CA Pallav Singhania
(Expert)
18 October 2013
Thank you Sir....
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Taxation of crypto futures in India Fy 2026- 2027
- EPF ECR NEW RULES Sep 17th 2026
- Transfer of Physical Stock Between Two Proprietorship Concerns
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
