Tax discharged by service recipient cannot again be demanded from service provider

Aadarsh Sri Sai Manpower Solution (p) Ltd. Vs Commissioner, Customs, Central Excise & Service Tax (Delhi High Court)

CESTAT Delhi held that when the entire tax due has been deposited in the account of Central Government it is not possible to sustain the demand. Even though instead of payment of 100% tax by service provider, 75% tax is paid by recipient and 25% tax is paid by provider, the service provider cannot be asked to pay the tax again.

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