Dear Experts,
I sold b u l k-s m s via abc company of value 15000/- to a xyz company in July 2015, (which was on cost to cost basis) while raising the invoice, also we abc company where i work is still not coming under the service tax bracket(turnover < 7lacs),
I by mistake shown a seperate cell showing the service tax amount, as we didn't have the service tax number, so its number is not mentioned, and while collecting the amount from the xyz company, they deducted 264/- U/s 194(c), in sep 2015 they started asking me to give them the service tax number, stating that they already booked the amount and will loose the input credit, for which I said that it was a mistake and I sent them the corrected invoice and also promised in written for a credit note, for which the owner agreed, now after 20 days again the owner is asking for a refund of the amount, and is saying the service tax for that month has been paid with accounting the amount, and further stating "service tax department asks for the service tax number when filling return so now the invoice will be shared without the service tax number with the department and thus you will be penalized for the same", and is saying that last date of filling the service tax is 30th september, which intself seems fishy, I am feeling that he is doing it delibrately to get back the amount.
My query is can we not sort this out for a mistake, and what all penalty is he talking about, since I am only authorized to provide extra credits, for which I can do that easily. Also if my company gets service tax, can we not provide the same.
seeking expert advice.
Rgds,
Deepika
CAclubindia
