No service tax on forfeiture of earnest money deposit & liquidated damages

Steel Authority of India Ltd. Vs Commissioner of GST (CESTAT Chennai)

Section 65B(44) defines service to mean any activity carried out by a person for another for consideration and includes a declared service. One of the declared services contemplated under section 66E is a service contemplated under clause (e) which service is agreeing to the obligation to refrain from an act, or to tolerate an act or a situation, or to do an act. There has, therefore, to be a flow of consideration from one person to anothe

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