TDP MLA Evades Taxes Worth 100 Crore, Invites Action

25 Aug, 2018 16:39 IST|Sakshi
TDP MLA Alapati Rajendra Prasad

Amaravati: In relation to a tax evasion case, the Central Excise & Customs Officers are said to be making arrangements to collect debts of over Rs 100 crore from Telugu Desam Party (TDP) MLA from Tenali and Managing Director of NRI educational institutions, Alapati Rajendra Prasad. Earlier this month, the High Court bench comprising Justice Sanjay Kumar and Justice Amarnath Goud rejected a petition filed by NRI Academy against the Goods and Services Tax Commissionerate, Guntur's claim of Rs 54 crore towards taxes and another Rs 54 crore towards penalty and interest from the TDP MLA.

The officials have found out that the NRI Academy management has evaded taxes to the tune of Rs 53.94 crore, against the tuition fee collected for conducting Engineering and Medical programs, courses for national level entrance tests and others, in 43 colleges across Guntur, Vizag, Vijayawada, Hyderabad, Eluru, Tirupati, Ongole, Tenali and Nellore. The management, at the time of establishment of the institutions, applied for registration into the service tax towards conducting classes for Intermediate students across MPC, BiPC, CEC and MEC streams.

However, reportedly on the tax Commissionerate's suggestion, the college management is said to have filed for 'Nil' returns for financial year 2011-12. From then on, the management evaded taxes worth Rs 53,94,36,220, according to the Commissioner of the Central Excise, Customs & Service Tax Commissionerate, Guntur, as on November 29, 2016.

As per rules, the NRI Academy should have appealed to the Central Excises & Services Tax Appellate Tribunal. But, the TDP MLA filed a writ petition in the High Court. However, the CGST maintained that the college management did not pay taxes towards the fees of Rs 474.70 crore collected for coaching classes.

Also Read: Hyderabad Woman Pays Record Income Tax Of 10 Crores

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