Latest Expert Exchange Queries

GST Demo Service software link:
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Popular Search: empanelment :: cpt :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment :: form 3cd :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD :: Central Excise rule to resale the machines to a new company :: articles on VAT and GST in India :: VAT Audit
« Service Tax »
 Income tax returns (ITR) filing: Not filed returns for 2 years? Beware! Deadline nearing
 Income tax on mind? 10 incomes you need not pay any tax on
 All you want to know about HRA: When you can claim and how it is calculated?
 Income Tax Saving: 6 ways to save tax without investing before March 31 tax deadline
 Unnable to file your tax return? Take help of these portals
 Do you know which 80C instruments can help you save tax and carry no future tax liability?
 E-way relief, for now, to e-commerce, courier firms sending small orders
 Where to invest for saving more on taxes
 A simpler GST can become a registry of all invoices, says iSPIRT’s Sharad Sharma
  Income Tax department may defend CPC in returns fraud case
 One GST rate not possible, next reform after compliance improves,

Hotel chain evaded service tax by under invoicing
June, 15th 2013

Assessing the books of accounts of the last five years, the service tax department has found that the group — promoted by former bureaucrat Sanjay Gupta promoted Neesa Leisure Limited (NLL) — had not paid any duty for an income of Rs60 crore which means it is liable to pay Rs3.40 crore as service tax.

Highly placed sources in the service tax department have claimed that the group was found guilty of not paying service tax by under-invoicing stay at its hotels and resorts.
The department had raided the NLL premises this May and seized books of accounts and other records for five years between 2007 and 2012.

“Investigation revealed that taking advantage of one of the rules, the company was raising invoices of Rs999 for visitors instead of the declared tariff of Rs3,500 to Rs16,500 amounting to tax evasion. Also, a batch of 50 people was given same rooms three times in 24 hours,” said a senior official of the department.

Tax is calculated on the difference between invoice amount and declared tariff. “Total difference of under-invoicing is Rs60 crore so far which may go up as assessment is still on,” the official said.

Gupta is currently director and executive chairman of Metro-Link Express for Gandhinagar and Ahmedabad (MEGA) Company to facilitate the Ahmedabad-Gandhingar Metro rail project.

“The group is using its sister concerns to cater to its hospitality business. Service tax charged on the group company is claimed as Cenvat credit (input tax credit) but not deposited with the exchequer,” the official further stated.

“The company has paid Rs1.25 crore in tax liability as well as reduced its claims for Cenvat credit by Rs3.50 crore. However, this is not the final assessment as we are still checking the records,” he added.

New service tax rules
With effect from February 2009, service tax is levied for short-term accommodation in hotels, guesthouses, resorts and other places where the declared tariff is Rs1,000 or more. The declared tariff has been defined within the notification as charges for all amenities provided in the unit of accommodation. Thus, it will include the cost of all electronic gadgets installed in the room and any other facility normally provided by a hotel as part of the stay.

New layer...
Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Quality Assurance Services Testing and Re-testing

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions