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GST commission serves notice to PMC for failing to pay service tax

According to officials, specifically, PMC’s ‘sky signage’ department has not paid the service tax for six years. GST commission has served a notice to the department to pay taxes of a total of Rs 7,61,00,000, with immediate effect.

pune Updated: Aug 28, 2018 14:59 IST
Parth Welankar
Parth Welankar
Hindustan Times, Pune
GST commission,notice,PMC
Earlier as well, the GST had served notices on the project cell and transport cell of the PMC for not paying taxes. However, after the notices, both departments immediately cleared the dues, of over Rs 5 crore, for both.(PTI FILE PHOTO)

Pune The goods and services (GST) commission of India has served a notice on the Pune municipal corporation (PMC) for the civic body’s failure to pay service tax from 2007 to 2012.

According to officials, specifically, PMC’s ‘sky signage’ department has not paid the service tax for six years. GST commission has served a notice to the department to pay taxes of a total of Rs 7,61,00,000, with immediate effect.

Tushar Daundkar, head of the department said, “We have received the notice from the GST commission. Consequently, we have forwarded a written application to PMC commissioner Saurabh Rao requesting him to sanction the payment to avoid fines in the future.”

He added, “While following the instructions in the notice served by the GST commission, we have initiated the process of paying fines, however, we will also be scrutinising as to why there been a delay of paying the taxes.”

“Once the commissioner accepts our application and sanctions the amount we will immediately pay the taxes,” said Daundkar.

A senior official from the department, requesting anonymity, said, “There has been a change in the senior officials who were heading the department, owing to which actions have to be faced by the current officials.”

Earlier as well, the GST had served notices on the project cell and transport cell of the PMC for not paying taxes. However, after the notices, both departments immediately cleared the dues, of over Rs 5 crore, for both.

First Published: Aug 28, 2018 14:59 IST