Service Tax - Accounting Code - Total Confusion
A harried assessee wrote to us,
"I draw your kind attention to the circular clarifying the new code and its applicability for depositing the tax under the respective head.
We find that the nsdl site has not updated the relevant code 441480 for ‘Other taxable services' [services other than the 119 listed above] and the old code 1089 continues to be reflected.
Under such circumstances, it is difficult to deposit the tax leaving no option but to deposit under the old code.
If you could possibly highlight this so that necessary corrections and a circular granting extension to pay under the existing code is made."
By Circular No. 161/2012-S.T dated 06.07.2012, CBEC clarified that there would be only one accounting code for All Taxable Services - 00441089 .
By Notification No. 48/2012-S.T dated 30.11.2012 and Circular No. 165/2012-S.T dated 20.11.2012, they brought back all the old code numbers with a new code for Sl. No. 120 - All other Taxable Service - 00441480.
Assessees who tried to pay the tax yesterday found that NSDL had not updated this data and there was no code 00441480. So, under what code could they pay the tax?
Why does the Board harass the hapless assessees like this? Why can't they do these things in a more organised way? Why can't they get the NSDL site updated with the new code before requiring the assessees to follow the new code? Does the FM understand how complicated his officers have made the simple act of paying tax?
Is the assessee an enemy of the Department and is the Department pursuing a one-point programme of making life miserable for the assessee - for no good reason!
You collect all the taxes you want - but don't make the act of collecting such a painful requirement.
To understand these practical difficulties, each Commissioner should be asked topay a nominal amount of Re 1/- as service tax by 5 th of every month on all taxable services and file an ST 3 return online by due date and for any delay in filing the return, the Commissioner should also be asked to pay late fee of Rs 20,000/- from his salary. Then only, the system will improve.