How many times can I apply under the VCES, 2013?
MAILS on VCES, 2013 seem to drop in to our mail box with amazing regularity and we are hard pressed to carry them simply because the Board Circular dated 13/05/2013 offers clarification only on "four” issues whereas there are many more issues on which the Trade/Public seeks clarity. In fact, we have covered many such issues in DDT 2097, 2100, 2105 , 2106 & 2120.
As for the Trade Notices that were supposed to have been issued based on the said Circular, we enquired with some local Commissionerates and were told that they were gearing up to receive a flood of applications under the VCES, 2013 and since the Public is fully aware of the "munificent" scheme through Taxindia Online and newspaper advertisements, they are going green by skipping issuance of any Trade Notice.
Be that as it may, one of our erudite columnists had penned a 20 point FAQ on the VCES and which we had carried just after the Union Budget, 2013. We would have been happy had the Board taken up those FAQs and offered its clarification so that there could have been a final say in the matter.
Over to the mail from the netizen –
"Sir, I am a non-filer of Service Tax returns. After taking a registration as mandated in rule 3 of the Service Tax Voluntary Compliance Encouragement Rules, 2013, I filed a declaration under the VCES, 2013 and declared my tax dues for the period beginning from October, 2007 to December, 2012.
The instructions issued and the form VCES-1 appended in the Rules requires that while submitting the declaration to the designated authority, the following is also to be provided/borne in mind –
+ The tax dues are to be computed separately for each service if the tax dues relates to more than one service during the period of declaration.
+ For calculation of tax dues, the manner as prescribed at S. No. 3F (I), or as the case may be, the Part B of the Form ST-3, as existed during the relevant period, may be used and calculation of tax dues may be furnished tax return period wise
+ Calculation sheet showing the tax dues calculation are to be enclosed with this declaration.
After filing the declaration, I observed that there was a calculation mistake inasmuch as some of the invoices which were issued during the period for which I had declared my tax dues were not taken into account. Therefore, additional tax dues arose and which I wish to declare. But I found that there was no such procedure laid down in the Rules, 2013. Incidentally, I am also apprehensive that the Commissioner of Central Excise may, using the powers vested in him by section 111 of the FA, 2013 may on account of the above lapse on my part, come to a conclusion that the declaration made by me is ‘substantially false' and issue a SCN. In case, this SCN is issued before the 31 st December, 2013, I can very well opt for the VCES, 2013 (as SCNs issued before 01.03.2013 are out of the Scheme). However, since he has been given a period of one year from the date of declaration, by the time the SCN is issued it will be past 31 st December, 2013 and I will not be able to opt for the VCES, 2013.
And, by the way, is there anything in the VCES, 2013 which requires me to declare all my Service Tax dues for the reference period in one go OR in other words can I file more than one declaration under the VCES, 2013 and come clean?”
DDT cannot afford to ignore any such mail on VCES, 2013 and is, therefore, carrying the same, whether we receive bouquets or brickbats!