A week after service tax officials from the Central Board of Excise and Customs issued a notice to tennis player Sania Mirza for allegedly 'evading' tax, the latter has responded.
The money in question was Rs 1 crore that the sportswoman received from the Telangana government when she was appointed the 'brand ambassador' of the state.
Arguing that the money was given to her as a "training incentive", reports suggest that Sania's lawyers stated that it was exempt from tax.
“Sania’s representative submitted certain documents before the Service Tax authorities and contended that the sum of Rs 1 crore she received from Telangana government was training incentive and the amount was not towards becoming state’s brand ambassador,” sources told Deccan Chronicle.
Other reports added that her lawyers even furnished the Government Order issued at the time, to make their case.
Amid much fanfare after the formation of the state in 2014, Chief Minister K Chandrasekhar Rao had felicitated Sania, and made her the brand ambassador on July 22, following which she was given Rs 1 crore.
Following her victory in the US Open mixed doubles later that same year. the state presented her another cheque worth Rs one crore.
Sania had been asked to appear on February 16, either personally, or through a representative, in front of officials.