No service tax on liquidated damages for breach of any contract terms

Madhya Pradesh Power Transmission Company Ltd Vs Principal Commissioner, CGST & Central Excise Bhopal  (CESTAT Delhi) The second issue that arises for consideration in this appeal is relating to the amount collected by the appellant towards liquidated damages or penalty. This issue was also examined by the Division Bench of the Tribunal in Madhya Pradesh Poorva Kshetra Vidyut Vitaran Company Ltd. decided on 12.04.2022 and after referring to the decision of the Tribunal in M/s Southeastern Coal Fields vs Commissioner of Central Excise and Service Tax, Raipur5 which decision has been accept...