Hassan: Evaded service tax for five years before it was detected by officials of the GST Commissionerate in Mysuru during a search about a week back with the service tax liability running into Rs 11 lakh.
"The service tax liability is likely to increase as we found prima facie discrepancies in some of the documents seized at the resort during the search on September 17," said Ravi Kiran Edara, Joint Commissioner, Mysuru GST Commissionerate. The resort was not co-operating with the officials or submitting documents demanded by them, prompting the search.
"The resort had not obtained the mandatory registration nor was it paying service tax," said an official. Mr Ravi Kiran Edara also revealed that officials came across issues with inter-agency implications during the search which would be referred to state and Central authorities.
Asked about the next course of action, he said the resort will have to pay the tax arrears and added that a show-cause will be served before initiating action.
