Corruption in Service Tax -Inputs on Root Causes
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Transparency International India
Service Tax - Corruption Issues
1. Service Tax registration process is hard and getting it done off line requires bribery
2. Errors in service tax returns exist for no valid reasons
3. They don’t correct errors and ask return filers to resubmit revised return and ask for bribes
4. Department has boys running asking for bribe to get registration formalities done
5. Service tax inspectors also collude with service provider companies (large and small) directly or through middlemen/consultants and take bribes to overlook their service tax errors
6. Even if a businessman is caught in the service tax department’s net, he can easily get away by paying bribes. more