Sir,
I was rendering consultancy service as a Sales Promoter to a PVC products manufacturer from 2003-2007.
during my work tenure with the manufacturer, neither they asked nor I charged any Service Tax from them. As far as my knowledge goes, I should have raised a Bill on them for my services including the Service Tax amount added to it. While they could have got the amount adjusted in their Excise Duty.
But I neither raised any bill nor they instited they used to raise Credit Note in my favour and pay me my dues.
In 2010 they had an inquiry from the Service Tax Dept. asking for the Service Tax amount.
They diverted the inquiry to me and according to the Dept. I should pay the Services Tax amount due on the total earnings of mine during that period from the manufacturer.
Now when I contacted the manufacturer, he is not ready to pay on the pretext that he will not get the amount adjusted in the Excise Duty which shall be paid by him now, since the Service Tax adjustment is of 2003-2007. Though I have raised the Service Tax Bill of the due amount on the manufacturer.
Sir, my questions are:
Is the manufacturer entitled for the adjustment of the old Service Tax payable (in 2003-2007) in the Current to be paid Excise Duty?
Is there any way I can plead for exemption from paying this?
Kindly suggest me as I am now retired and due to very limited source of income, not in position to pay.
Regards.
