Service Tax News, Articles, Notifications and Forms

  • Sep
  • 17
  • 2014

Clarifications on mandatory pre-deposit for filing appeals under Service tax, Excise and Customs

Added In Service Tax
The Finance Act (No.2), 2014 (the Finance Act) has substituted new Section 35F of the Central Excise Act, 1944 (the Excise Act) which is also applicable for Service Tax vide Section 83 of the Finance Act, 1994 and Section 129E of the Customs Act, 1962 (the Customs Act) to prescribe mandatory pre-deposit of 7.5% or […]

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  • Sep
  • 17
  • 2014

Notional interest on interest free security deposit cannot be added to rent for levy of service tax

Added In Service Tax
Notional interest on interest free security deposit cannot be added to the rent for levy of service tax on renting of immovable properties Murli Realtors Pvt. Ltd. and others Vs. Commissioner of Central Excise Pune-II [2014-TIOL-1 728-CESTAT-MUM] Murli Realtors Pvt. Ltd. and others (“the Appellants”) are lessors of immovable property who have leased out their […]

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  • Sep
  • 16
  • 2014

Services provided for transportation of ‘waste’ through pipeline is not taxable as transportation of ‘goods’ through pipeline

Added In Service Tax
Gujarat State Fertilizers and Chemicals Ltd. Vs. Commissioner of Central Excise, Vadodara [2014-TIOL-1 729-CESTA T-AHM] Gujarat State Fertilizers and Chemicals Ltd. (the Appellant) has rendered services of transportation of effluent through pipeline or conduit to Heavy Water Project (HWP) for consideration. The Department contended that the Appellant is liable to pay Service tax on the […]

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  • Sep
  • 16
  • 2014

Unjust Enrichment not applicable on refund of Service tax paid when no services are received under reverse charge

Added In Service Tax
Unjust Enrichment not applicable on refund of Service tax paid when no services are received under reverse charge and payment thereof had been adjusted between associated enterprises Wolters Kluwer India Ltd. Vs. Commissioner of Service Tax, Delhi [(2014) 48 taxmann.com 97 (New Delhi – CESTAT)] Wolters Kluwer India Ltd. (the Appellant) entered into an agreement […]

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  • Sep
  • 16
  • 2014

Input service distributor is not required to be a manufacturer or output service provider to avail Cenvat credit

Added In Service Tax
Moser Bear India Ltd. Vs. CCE, Noida [TS­368-Tribunal-2014(DEL)] The head office of Moser Bear India Ltd. (the Appellant), located at Delhi is registered as an input service distributer (ISD) in terms of Rule 2(m) of the Cenvat Credit Rules, 2004 (the Credit Rules). The head office was discharging Service tax liability under Reverse Charge for […]

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  • Sep
  • 15
  • 2014

The New Era in Service Tax Begins

Added In Service Tax
With the enactment of Finance Act, 2014 on 6th August, 2014, all the provisions of Service Tax which were amended in Union Budget this year have come into force. Moreover, Government has notified the date of 1st October, 2014 as the date from which taxability of enhanced scope of Service Tax, new services and changes in exemptions will come into force.

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  • Sep
  • 12
  • 2014

Service Tax Collections increase by 15.1% during April-August 2014

Added In Service Tax
Indirect Tax Revenue (Provisional) Collections increase from Rs 1,85,881 Crore in April-August 2013 to 1,94,492 Crore during April-August 2014; Registering an increase of 4.6% during April-August 2014 over the Corresponding Period in the previous year; Service Tax Collections increase by 15.1% during the same Period Indirect Tax Revenue (Provisional) collections have increased from Rs 1,85,881crore […]

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  • Sep
  • 11
  • 2014

Date of refund filed even though with wrong authority, has to be treated as relevant date

Added In Service Tax
The Hon’ble CESTAT relied on the case of CCE Ahmedabad Vs. AIA Engineering Ltd. [2009 (248) ELT 826 (Tri.-Ahmd.)] upheld by the Hon’ble High Court of Gujarat inCCE Vs. AIA Engineering Ltd. [2011 (21) STR 367 (Guj.)] wherein it was held that the refund filed with the Department, though with the wrong authority has to be treated as having been filed on the first date.

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  • Sep
  • 10
  • 2014

Service provider can avail Cenvat credit on input services prior to Service tax registration

Added In Service Tax
The Hon’ble CESTAT, Delhi also relied upon the decision in the Metric Solution case and held that Cenvat credit in respect of inputs/ input services received by an output service provider during the period prior to his obtaining Service tax registration is admissible and denial of Cenvat credit on this ground is not correct.

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