The Central Board of Excise & Customs (CBEC), Department of Revenue, Ministry of Finance had sent in a notice to NTR Trust for the non-payment of Service Tax for the past few years. NTR Trust leased 35000 square feet of its property in Banjara Hills Road No.2 for setting up the party office.
The party should pay 10.5 Lakh as Rent to the trust. According to the rules, 12.3% Service Tax had to be paid to the government on this amount. However NTR Trust is not paying the service tax for several years. Earlier the trust paid Service tax for 75 Lakhs few years ago but is pending in the recent times.
Lokesh — Founding Trustees of NTR Trust
NTR Trust was established in 1997 as Chandrababu Naidu, his wife Bhuvaneswari, their son Lokesh and another Dr.V.Jayaramireddy as trustees. Even though the Service Tax is not a big amount for TDP, sheer negligence got them these notices. We can only hope that they rectifiy this mistake and set an example to people by adhering to all Tax rules.
