The Goods and Services Tax department said it has attached the bank accounts of Telugu superstar Mahesh Babu to recover service tax dues from him. A press release issued by the Hyderabad GST Commissionerate said Babu has not paid the Service Tax during 2007-08 for the taxable services he rendered as brand ambassador, appearance money and advertising for promotion of products among others. It said, “The total tax due from him was Rs 1.85 million. Today, the GST department has attached his bank accounts in Axis Bank and ICICI Bank for an amount of Rs 7.35 million, which includes tax, interest, and penalty.”
A senior official of the GST department said the actor failed to get any reprieve from any appellate authority on the issue. “We have attached the bank accounts and started recovering. We have recovered Rs 4.2 million from Axis Bank. Balance, ICICI bank has to pay by tomorrow.” Sources said action will have to be otherwise taken against ICICI. Under Section 74 of the Finance Act 1994, the bank is responsible for payment.