VAT & Service Tax

Expert services for legacy VAT and Service Tax matters.

Though GST has largely replaced these taxes, businesses may still have legacy issues or specific matters related to VAT and Service Tax. At Anuj Desai & Associates, we continue to offer expert services for businesses that need to resolve VAT and Service Tax compliance issues, audits, refunds, and disputes from the pre-GST era.

What are VAT and Service Tax?

Before the introduction of Goods and Services Tax (GST), the Indian tax system was divided into multiple indirect taxes, primarily VAT (Value Added Tax) and Service Tax.

  • VAT: VAT is a tax levied on the sale of goods within a state. It was designed to avoid the cascading effect of taxes, which means that tax is paid only on the value added at each stage of the production and distribution process.
  • Service Tax: Service Tax was applied to services provided by service providers in India. It was levied on the value of the service, and businesses that provided taxable services were required to pay this tax to the government.

VAT Registration and Compliance

Even though GST has replaced VAT, some businesses may still be required to comply with VAT laws, particularly for transactions that occurred before the GST implementation. We provide:

  • VAT Registration Assistance: Help businesses register for VAT where applicable, including filing for VAT with the relevant state authorities.
  • VAT Return Filing: Ensure the correct filing of VAT returns for the last financial year or any ongoing VAT obligations.
  • VAT Reconciliation: Assistance in reconciling VAT paid on purchases and VAT collected on sales, ensuring accurate filing and refunds.

Service Tax Registration and Filing

Similarly, businesses that were previously providing taxable services may need to address legacy Service Tax issues. Our services include:

  • Service Tax Registration: Helping businesses with Service Tax registration under the old regime and ensuring they comply with any outstanding obligations.
  • Service Tax Return Filing: If your business still has Service Tax liabilities from the past, we help file returns for the appropriate periods (such as ST-3 forms).
  • Service Tax Refund: If you have overpaid Service Tax or are eligible for a refund, we guide you through the process of filing for a refund from the authorities.

VAT & Service Tax Audit Services

For businesses that were registered under VAT and Service Tax, it's important to ensure compliance through audits. We offer:

  • VAT Audit: Conducting audits of your VAT transactions to ensure that the VAT charged is accurate and appropriately reported.
  • Service Tax Audit: Auditing your records to confirm that service tax liabilities have been correctly calculated, reported, and paid.
  • Pre-GST Transition Audit: For businesses transitioning to GST, we assist with ensuring the proper closure of VAT and Service Tax obligations, including the migration of credits.

VAT & Service Tax Dispute Resolution

If you have any unresolved issues or disputes with VAT or Service Tax authorities, we provide:

  • Dispute Resolution and Representation: Representing your business before state VAT authorities or the Service Tax Department, helping you resolve assessments, penalties, and tax disputes.
  • Appeals and Review: If your VAT or Service Tax returns have been questioned or audited, we assist in filing appeals and reviewing assessments to ensure fair treatment and potential reduction of penalties.
  • Tax Refunds and Recovery: Assisting in claiming VAT or Service Tax refunds for eligible businesses that have paid excess tax or overpaid due to errors.