Mumbai, Oct 23 (UNI) Turning the heat on tax defaulters in the city, Sales Tax department here today said it would soon initiate criminal proceedings against defaulters, if they do not pay taxes as per rule.
''They have already missed the deadline served by us. Now, we again advice them to file their returns/ pay assessed tax. And if they don't, we will take legal action gainst them,'' a ST department official said today.
''It is legally binding on all sales tax assessees to file their monthly/ quarterly or six monthly returns of their business along with tax payments depending on their tax liability. However, despite this, they do not comply, or if they do, then the tax amount is at times lesser vis-a-vis tax assessed,'' he said.
''If they fail again, non-filing defaulters would face strict legal action. The dapertment is going to file FIRs with the police against them and prosecution will be launched in the court of law in such case,'' the official said.
According to the official, Mumbai has over two lakh sales tax assessees. Of these, nearly 20,000 are either defaulters or do not pay tax according to the assessment.
''The problem is more with the small and petty traders. Though their tax liabilities are lesser, still considering their number, the value of the evaded tax goes much higher,'' he added.