From: Rebecca Andrews <rebecca.andrews88@yahoo.in>
Date: Thu, Nov 25, 2010 at 7:30 AM
Subject: {jalgaoncas} New Controversy - Service Tax on Residential Apartments
To:
| Service Tax on Residential Apartments - Commissioner questions Board Circular - Agitated Assessees Approach Board TIOL-DDT 1493 WE are informed that The Confederation of Real Estate Developers' Associations of India (CREDAI) has written to its members that the Commissioner, Service Tax,Tamil Nadu has issued notices to their members asking them to pay Service Tax on the sale of Residential Apartments / Houses for the period prior to 1/07/2010. It seems that the Vice-President of CREDAI along with another Member had met the JS, TRU, Service Tax and had a detailed discussion with him and showed him the SCN wherein the Commissioner has questioned the applicability of CBEC Circular No. 108/02/2009-ST dated 29/01/2009. The CREDAI is understood to have informed its members that the JS, TRU has dictated a letter addressed to the Chief Commissioner, Chennai advising him to investigate as to how Officers have dared to question the Board's directions and why they are not honouring the above Circular. He has also instructed to initiate action on the Officers who were harassing the Developers by not honouring the above Circular. It is not known whether the said dictated letter had been sent to the Chief Commissioner and if so, what the Chief Commissioner has done. In the above background, CREDAI has advised its members to wait for further communications and in case any Service Tax Commissionerate refuses to honour the Board Circular to inform the confederation so as to take up the matter with CBEC. The Confederation seems to be happy, but obeying the Board instructions is not really a favourite pastime in the field. |
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