After the news that he has to pay the GST for the income, he has earned by endorsing brands has gone viral, actor Mahesh Babu has responded to it. The legal advisor and team of the actor have released a press note and said the below.
“The GST Commissionerate Hyderabad has attached the bank accounts for a disputed tax demand of Rs 18.5 lakhs claiming Rs 73.5 lakhs towards Tax interest and the penalty for brand ambassador services rendered in FY 2007-08 which was not taxable service. The brand ambassador services were brought in the statute by insertion of section 65(105)(zzzzq) with effect from 1-7-2010. The GST Commissionerate Hyderabad has carried out the attachment without notice when several judicial pronouncements on this issue are in favour of the taxpayer and more so when the dispute is pending before the High Court. Mr Mahesh Babu is a law-abiding citizen complying with all fiscal legislation and has no undisputed tax payable.”
- The legal team of G Mahesh Babu