HC notices on evasion of tax by cable operators

New Delhi, May 23: The Delhi High Court today issued notices to the Centre and Delhi Government on a petition seeking direction to the authorities for a probe into the evasion of various taxes to the tune of crores of Rupees by the cable operators in the Capital.

A division bench of Justice M K Sharma and Justice Reva Khetrapal also issued notices to the Information and Broadcasting Ministry, the departments of Service Tax, Excise and Entertainment Tax, Income Tax Department and the Central Bureau of Investigation (CBI) to file their replies by August 21, the next date of hearing.

''It is the statutory duty of the authorities to discourage, prevent and stop the local cable operators to operate from their respective areas, who have failed to pay the accurate service sales and entertainment taxes to the concerned departments,'' said the petition filed by Vinay Kumar Walia.

The licences of the cable operators, who failed to pay the requisite taxes till the date should be cancelled, said the petition.

The cable operators should be directed to submit the actual subscription list to the authorities for evaluation of the tax.

Action should be initiated against the erring officials, who were responsible for conniving with the cable operators in evading taxes, said the petition.

The cable operators in the Capital did not pay service tax, sales tax and entertainment tax despite collecting a high subscription rate from the subscribers, alleged Mr Walia in the petition.

The respondents had negligently and deliberately refused to perform their duties by not taking appropriate measures in verifying the list of subscribers and payment of taxes of all the cable operators, Mr Walia alleged.

UNI