Government Notifies Service Tax Voluntary Compliance Encouragement Scheme,2013

TG Team 13 May 2013 4,108 Views 0 comment Print Service Tax | Notifications, Notifications/Circulars

(i) Besides interest and penalty, immunity would be available from payment of late fee/ penalty for non-registration or non / delay filing of return etc.

(ii) Tax dues could be declared under the scheme, which are not covered by any notice or order of determination issued under section 72, 73 or 73A of Finance Act, 1994.

(iii) The provision of section 106(2)(a)(iii) shall be attracted only in such cases where accounts, documents or other evidences are requisitioned by the authorised officer from the declarant under section 14, 72 or 83 of the Act or Rule 5A of the Service Tax Rules, 1994 and the inquiry so initiated against the declarant is pending as on 01.03.2013. No other communication would attract the provisions of section 106(2)(a)(iii) and lead to rejection of declaration.

NOTIFICATION NO 10/2013-ST,

Dated: May 13, 2013

In exercise of the powers conferred by sub-sections (1) and (2) of section 114 of the Finance Act, 2013 (17 of 2013), the Central Government hereby makes the following rules regarding the form and manner of declaration, form and manner of acknowledgement of declaration, manner of payment of tax dues and form and manner of issuing acknowledgement of discharge of tax dues under the Service Tax Voluntary Compliance Encouragement Scheme,2013,namely:-

1. Short title and commencement.-

(1) These rules may be called the Service Tax Voluntary Compliance Encouragement Rules, 2013.

(2) They shall come into force on the date of its publication in the Gazette of India.

2. Definitions.–

(1) In these rules, unless the context otherwise requires,-

(a) “Act” means the Finance Act, 2013;

(b) “Form” means the Forms annexed to these rules.

(c) “Scheme” means the Service Tax Voluntary Compliance Encouragement Scheme, 2013 as specified in the Act;

(2) Words and expressions used but not defined in these rules but defined in the Scheme shall have the meanings respectively assigned to them in the Scheme.

3. Registration.– Any person, who wishes to make a declaration under the Scheme, shall, if not already registered, take registration under rule 4 of the Service Tax Rules, 1994.

4. Form of declaration.– The declaration under sub-section (1) of section 107 of the Act, in respect of tax dues under the Scheme shall be made in Form VCES -1.

5. Form of acknowledgment of declaration.– The designated authority on receipt of declaration shall issue an acknowledgement thereof, in Form VCES -2, within a period of seven working days from the date of receipt of the declaration.

6. Payment of tax dues.–

(1) The tax dues payable under the Scheme along with interest, if any, under section 107 of the Act shall be paid to the credit of the Central Government in the manner prescribed for the payment of service tax under the Service Tax Rules, 1994.

(2) The CENVAT credit shall not be utilised for payment of tax dues under the Scheme.

7. Form of acknowledgement of discharge.-

(1) The designated authority shall issue an acknowledgement of discharge under sub-section (7) of section 107 of the Act, in Form VCES – 3.

(2) The acknowledgement of discharge shall be issued within a period of seven working days from the date of furnishing of details of payment of tax dues in full along with interest, if any, by the declarant.