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Mahesh Babu's legal team gives clarification

Friday, December 28, 2018 • Tamil Comments
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Mahesh Babus legal team gives clarification

As was reported already, Mahesh Babu has come under the radar of the Hyderabad GST commissionerate for "failing to pay service tax for the period of 2007-08 towards his services as a brand ambassador". A press release from the office said that the total due has been assessed to be Rs 18.5 lakh. Following this, the superstar's Axis and ICICI bank accounts to the tune of Rs 73.5 lakh have been attached.

The 'Maharshi' actor's legal team has issued a statement regarding this within 24 hours. In its statement, the team says that the said brand endorsement fee was not taxable at all. "The brand ambassador services were brought in the statute by insertion of Section 65 (105) (zzzzq) with effect from 1 July 2010. The GST commissionerate has carried out the attachment without notice when several judicial pronouncements on this dispute are in favour of the taxpayer and more so when the issue is pending before the High Court," it said.

The legal team further said that Mahesh is a law-abiding citizen complying with all fiscal legislation and that he has no disputed tax payable.

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