St settlement commission

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 May 2016 Dear Seniors,
My client has not paid ST from
last three year, now ST deptt. Has issued
SCN to my client for the ST payment
included interest & penalty
Pls guide me can i file application
To ST settlement commission for seeking
relief.. what are the possibilities of relief
By settlement commission,

Thanx & Regard
Dipesh kumar

Chintan B. Vasani (CA , DISA)

Chintan B. Vasani (CA , DISA) (Expert)
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17 May 2016 Hi Depesh.
Before you directly jump to Settlement Commission authority let me tel you few things which you need to take care,
1.Settlement commission is constituted for settling complicated cases of chronic tax evaders as an extraordinary measure, for giving an opportunity to such person to make a true confession and to have matters settled once for all.
2. You can not directly approach settlement commission just on the grounds of non-filing of return and non payment of tax liability. Also you can approach only if your liability is more than Rs. 3 lakhs.
3. The authority will not entertain your case, if you have not filed return and paid service tax.
3. You first need to file returns for all the periods pay tax and interest within 30 days of SCN. And for penalty you can sought wavier, pl go through proviso to Section 76(1) of Finance Act, 2015 of the same adjudicating authority.
4. One most dangerous is if you approach settlement commission your books are open to each and every department i.e. income tax, custom depts etc...it may cause serious hazards if they enter.

Form above few points its advisable to file return pay tax along with interest and sought wavier for penalty with the same adjudicating authority.
For any other issues, you are most welcome.
Thanks.

Rupesh Jain

Rupesh Jain (Expert)
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17 May 2016 it better to pay tax and file the return, due to settlement commissioner not entertain the case without pay the tax and filing the return, after that you can approach to settlement.

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