Indirect Taxes - No reopening of Old Assessments
THE CBEC has also issued a similar Circular stating:
Recent initiatives of the government to curb black economy in the country encourage people to shift towards digital mode of payment while making financial transactions. By adopting a digital mode of payment, no financial transaction would remain undisclosed and consequently an enhanced turnover might get reflected in the books of accounts. Under the circumstances an apprehension has been raised that increased turnover on account of use of digital means of payment may lead to demands for the earlier period.
It is hereby clarified that in indirect taxes, past assessments will not be reopened for this reason alone.
CBEC F. No. 137/155/2012-Service Tax(Part-I)., Dated December 09, 2016