Need urgent help!!!!!!

Final 532 views 4 replies

Ashok Kumar Sharma

Student

319 Points Joined July 2010

I am in a very strange situation,Kindly help me to get out of it!!

As a CA-Final student,I registered myself to a coaching institute for the classes and paid the fees upfront as the general rule you have to deposit fees upfront(Rs.20000) on 13/5/2013.But due to timings problem on 15/5/2013,I asked him to kindly cancel my registration and give me refund of the full amount of Rs.20000 upfront(I had paid through cheque) and the cheque was cleared and he told me that after checking of Bank Statement he will give my refund through cheque..But when I went to him today,he told me that he will pay after deducting service tax @ 12.36%..But argued that I didn't even took a single class..Considering above situation,kindly tell me:

1.) Am I liable to pay service tax on the service that I had not even availed?

2.) What is my legal stand on that and how can I recover my full amount,i.e.,Rs.20000?

THanking you,
Ashok Kumar Sharma

Replies (4)

CA Saroj Kumar

Keen to learn something new every moment

2588 Points Joined June 2010

Dear as u told that u haven't taken any single classes so are not liable to pay servcie tax because it is levied on receipt of services, isnce u have not received any service hence u are not liable.

However as per my experience, You should consult directly with the teacher from which u have to take classes. for which u have paid the same. He will resolved all the problems.

Adminstrative people there will agru with u unneccessarly.

Ashok Kumar Sharma

Student

319 Points Joined July 2010

@ Saroj, But I paid the fees in advance and he had even made receipt out of it!! I am not understand how they can do that to me??I am not availing their service,why should I pay service tax?

CA Saroj Kumar

Keen to learn something new every moment

2588 Points Joined June 2010

They will reverse the same entry and make u payments without deducting service tax. Service TAx is levied on service provided by the Service Provided in your case no serivce has been provided. The most greatest idea u should sonsult with teacher he will do better. Admin people argue unnccessary i know dear i have already hace with these admin people.

Vaneet Bansal

learning new things

106 Points Joined October 2011

hi ashok

as per Rules 6 of Service tax if if any invoice is issued for which no service is provided then the service provider is eligible to get refung of service tax paid. so u request to institute that by refering this rule and get refung of serive tax paid by u.

Good Luck