No Service Tax on Issuance of Corporate Guarantee by Director Without Consideration: SC

Commissioner of CGST And Central Excise Vs Edelweiss Financial Services Ltd. (Supreme Court of India) In a significant judgment, the Supreme Court of India has ruled that the issuance of a corporate guarantee on behalf of group companies by a director without consideration is not considered a taxable service. This landmark ruling was made in the case of Commissioner of CGST And Central Excise Vs Edelweiss Financial Services Ltd. In its judgment, the court acknowledged that the concept of ‘consideration’ is crucial for defining a service under section 65B(44) of the Finance Act, 199...