Cricketer Harbhajan Singh, currently spinning misery on the South African team, seems to have been caught by the central excise and service tax department for defaulting on service tax. The department has found that he owes nearly Rs 1 crore as service tax on his income from the first and second seasons of the Indian Premier League (IPL) cricket tournament.
The department is expected to serve him a notice in the coming days.
Chief commissioner of central excise and customs PK Sirohi said on Tuesday, “The department is probing the case and it would be finalised after the cricketer returns from the South Africa tour.”
Charanjit Singh, commissioner of central excise, who is supervising the case, said the department has found Bhajji liable for payment of service tax for generating income by rendering services for promotion of an IPL franchisee. The cricketer has played for Mumbai Indians, owned by industrialist Mukesh Ambani.
“It’s a case of business auxiliary services and primarily I can say that he has to pay roughly Rs 1 crore,” Singh told media.
He said that though Bhajji is on tour, his charted accountant has been cooperating with department but the case would be finalised when the cricketer returns home.
The department has already issued a notice to all-rounder Yuvraj Singh for failing to pay a service tax amounting to Rs 1.5 crore.