Service Tax dept slaps Rs 4.94 cr notice to Ramdev's trust

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Baba Ramdev
New Delhi, Jun 4: Baba Ramdev's trust has been slapped with a notice of Rs 4.49 crore by the Service Tax department for alleged duty evasion on the income made through conducting 'yog shivirs'.

The Directorate General of Central Excise Intelligence (DGCEI) is also keeping a hawk's eye on various activities of trusts run by the yoga guru across the country after 2006.

A tax notice has been served to Haridwar-based Patanjali Yog Peeth for selling coupons of different denominations to conduct the yoga shivir both residential and non-residential.

"We are replying to the notice. Yog shivirs are classified under the category of providing medical relief which cannot be termed as earning commercial profit," said SK Tijarawala, Baba Ramdev's spokesperson.

According to sources, the income generated by conducting these yoga camps is liable to fall under the service tax domain. Yoga also falls under the taxable list of health and fitness services.

Reports reveal that the officers during the investigation recovered price coupons of different denominations ranging from an increasing order from the back row to the front during the yoga shivirs.

The DGCEI also found that the coupons for non-residential Yoga camps were priced between Rs 51-Rs 7,000, while the residential camps, which provided facilities like air-conditioned tents cost between Rs 8,000-Rs 12,000, said reports.

The Service Tax department is also looking into the ledger and balance-sheets of all the shivirs conducted by the yoga-guru's trust in the last 5 years following which the Income-Tax department will be alerted in case it missed out from the Income Tax net.

Baba Ramdev's trusts have been granted the liberty of tax exemption for its association with charitable organisations. His trusts are also under the radar of the Enforcement Directorate (ED) for allegedly contravening foreign exchange rules.

OneIndia News

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