I submitted my N.S.C. of 20k as security to Sales Tax Deptt. for opening my firm. My business was going in loss so I closed my firm on Oct. 5, 2015 after filing my last return on Oct. 4,2015. My CA (sales tax consultant/advocate) said now nothing is required from my side and assessment will be done. It took almost 1.5 years (May/June 2017) when assessment was done. No amount was due (no demad notice) , My firm was closed. and the only thing was to take my N.S.C. back from sales tax department. It took almost 2-3 months and my CA was saying it will take time. One day I went to Sales Tax Deptt. (around Sept 5, 2017) and asked “Can I get my NSC myself?” Their system (PC) was showing that my firm status is closed and they said you will get NSC after firm closing process completes. But My CA saw me there and I think he didn’t like it. Suddenly next day, I received a SMS that my firm status is active. Next week, I got a return defaulter notice by email on Sept. 15,2017 from sales tax Deptt. (see screenshot link Return Defualter Notice). I talked to my CA about it. He said my trading account (Some similar name I don’t remember exactly) was not closed/submitted when filed last return. My CA said you will have to pay 5000 rs. penalty. I said “it is not my fault. I asked you to close my account next day after submitting my last return. It was your’s responsibility to close trading account. Why would I pay 5000 Rs.?” Then he said OK you will not have to pay penalty. Wait and your fee will be waived when govt. will issue a waiver scheme within next 1-2 months” Now it has been approx. 1 and 1/2 years after Sept. 15,2017 and he always says govt. scheme didn’t come but will come soon within next 1-2 months. When I complained him again after 9-10 months why it is taking so long, he said then pay 5000 Rs.or wait for scheme.
Is there any govt. scheme exists that waives sales tax penalty ? Does it really happen? Is he telling me truth? Sometimes I feel he is intentionally delaying it to torture me mentally and trying to increase penalty amount because he didn’t like that I contacted Sale Deptt. myself for NSC that’s why my firm became active immediately after I went there while I saw myself in sales tax deptt. system that my firm was inactive/closed. I am sure he has setting with People in sales tax Deptt. and he is taking their help in delaying it. Does it really take that long in getting NSC back after closing firm (closed 3 years ago and assessment done 1.5 years ago)?
Also, if such govt. scheme doesn’t come for next 1 more year, can I really get my NSC back by paying fix 5000 Rs. ? or I will have to pay interest on penalty because I am afraid the total amount will become too much after 3 years even if I decide to pay penalty. is it a fix amount penalty under section 64 Rajasthan VAT? Can someone explain how much will it be if I decide to pay it today ?
What should I do in this situation? Should I wait (how long it generally takes) or pay 5k penalty for getting 20k NSC