Trust cannot be treated as NBFC to pay service tax on Banking & Financial Services

M/s. Mahasemam Trust Vs Commissioner of Central Excise (CESTAT Chennai) There is no dispute, that appellants are a Registered Charitable Trust. There is also no allegation that they have been approved to function as a bank or even as a non-banking institution by the R.B.I. This being so, they cannot be termed as a “Banking Company” or “Financial Institution”. As per the RBI Act a “financial institution” is a “non-banking institution” which carries out its business in specified activities which are not done by the appellants. The definition of “non-banking institution” in Se...