PRTOEST AGAINST SERVICE TAX ADVERTISEMENT PUBLISHED ON 02/03/2014

Ref : CESA/20/2014

Dtd.: 04.03.2014

To,

Shri Sumit Bose

Hon’ble Revenue Secretary,

Ministry of Finance, North Block,

New Delhi.

Ms J M Shanti Sundharam,

Ho’ble Chairperson, CBEC,

North Block, New Delhi.

Respected Sir/Madam,

          Sub: Service Tax advertisement published on 02.03.2014 in print media – reg.

Your kind attention is invited to the advertisement appearing in most of the National Daily News papers on 02.03.2014 (copy enclosed).

To create awareness amongst the Service Tax assessees advertisements are being published in various print as well as electronic media.  The Service Tax assesses are not illiterate like olden tobacco days because before extending any sort of service, they are smart enough to collect the charges on account of Service Tax head in their business.

In respect of the instant advertisement, CESA Mumbai lodges/registers its protest as regards the wordings appearing in the second paragraph which reads as “ he consulted his Chartered Accountant who informed him that …..”.  This is quite objectionable because, it creates an impression as if the explanation/clarification is only available with the Chartered Accountants and thus the advertisement promotes the Chartered Accountant fraternity. In the Custom House CHA plays a major/vital role to clear customs goods without elaborating their proximity. No tax evader/smuggler brings their goods in consultation with the CHA. 

Sir/Madam, in the technology era CBEC is having a web site as well as every Commissionerate is having its own web sites and help desk centers for any sort of clarification/assistance for excise /Customs /Service Tax related matters.   The department is not meant to promote the  Chartered Accountants  Fraternity for their business in the field of Service Tax.  The said advertisement gives a wrong signal that the department is not equipped to clarify to the dynamic Service Tax assessee like Mr. Raghuveer who preferred to consult the Chartered Accountant rather than the jurisdictional   departmental officers or our web-sites.    

It is suggested kindly give suitable instructions to create awareness to increase the tax base as well as the penal action against those who default or indulge in hoarding government money by collecting Service Tax and not depositing with the exchequer. Also make the Jurisdictional officers available to clarify the legal positions and formalities so that tax payers will not approach any third party.    

It pinches the wasteful expenditure in the pretext of the advertisement to promote CA fraternity rather than our services. The field officers who work hard to garner each penny even adventure to collect arrears by spending from his own pocket many a times feels embraced. Hence, immediate corrective steps may please be taken and such type promotion of any fraternity may be done away with. The information available on the CBEC site may be projected in the advertisement so that the assessees are encouraged to refer and rely on the authentic information available only on our website. Erring Officers may suitable cautioned.

Thanking you.

Yours Sincerely

A.K. Sasmal

General Secretary

Copy to :-

1. Ms. Lipika Mazumdar, Hon’ble Member Service Tax, CBEC, North Block, New Delhi for kind information and necessary action.

2. Shri V.K. Goel, DG, Publicity and Public Relations, CBEC, CR Building, New Delhi for kind information and necessary action.
          3. Chief Commissioner, Central Excise, Mumbai Zone-I & Zone-II  for kind information and necessary action.

4. All Chief Commissioners, Central Excise and Service Tax and Commissioner of Service Tax for kind information and necessary action.