Service tax query

sushant gurav (Accountant) (396 Points)

26 June 2013  

Dear sir,

One of my neighbour  is in a business of Pandal and shamiana. They have crossed the turnover limit 02 year back. but due to lack of knowledge they did'nt registered with service tax department. Now antio evasion people went to them and they served them the notice.

After receiving the notice my neighbour took the service tax registration.

Now anti evasion people are asking them to pay service tax.  SINCE THEY HAVE NOT RECOVERED ANY SERVICE TAX FROM THEIR CLIENTS , THEY ARE IN A DILEMA.

So, my question is whether they will have to pay service tax for last 02 year , because they have not taken registration at that time. OR THEY WILL ONLY HAVE TO PAY ONLY INETREST FOR NOT TAKING REGISTRATION ON TIME.

PLEASE SUGGEST.

THANKS AND REGARDS