Arranging Package Tour Can't Be Classified As Tour Operator Service, No Service Tax Payable: CESTAT

The Ahmedabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax is payable on arranging package tours.The bench of Ramesh Nair (Judicial Member) and C.L. Mahar (Technical Member) has observed that the service cannot be classified under Tour Operator Service as arranging the package tour does not involve all the activities that are required to classify the service under Tour Operator Service.The appellant/assessee has submitted that business...

No Service Tax Payable On Laying Down Water Supply Pipelines For Govt.: CESTAT

The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the assessee is not liable to pay service tax for the activity undertaken by them for laying down the pipelines for government/government undertakings for supply of water from KWA in Thiruvananthapuram City. The bench of Ashok Jindal (Judicial Member) and K. Anpazhakan (Technical Member) has observed that the construction of canals/pipelines/conduits to support irrigation, water supply, or sewerage...

CESTAT Quashes SCN Issued Against Fruit Seller Not Engaged In Any Service Tax Leviable Activity

The Mumbai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed the show cause notice issued against fruit sellers who are not engaged in any service tax-leviable activity.The bench of Suvendu Kumar Pati (Judicial Member) and Anil G. Shakkarwar (Technical Member) has observed that the show cause notice did not establish that the appellant was providing any service. The show cause notice was sent to some address in Navi Mumbai, whereas the appellant is conducting his...

BOI Entitled Service Tax Refund Paid On Commission Charges For Credit Facility: CESTAT

The Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that Bank of India is eligible for refund of service tax paid on commission charges for granting credit facility subject to verification.The bench of Sulekha Beevi C.S. (Judicial Member) and Vasa Seshagiri Rao (Technical Member) has observed that the appellant bank has satisfied all the conditions for treating the service as an export of service, but there is a need to verify whether the service tax paid...

Trading In Securities Is Not A Service, No Service Tax Payable: CESTAT

The Chennai Bench of Customs, Excise and Service Tax appellate Tribunal (CESTAT) has held that the no service tax payable on trading in securities is not a service.The bench of Sulekha Beevi.C.S. (Judicial Member) and Vasa Seshagiri Rao (Technical Member) has observed that by making an investment, the appellant does not do any activity for another for consideration. The specific exclusion from the definition of'service' is given to transactions involving 'transfer of title in goods or immovable...

No Service Tax Payable On Banking Services Rendered By PNB To RBI: CESTAT

The Chandigarh Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax is payable on banking services rendered by Punjab National Bank (PNB) to the Reserve Bank of India (RBI).The bench of S. S. Garg (Judicial Member) and P. Anjani Kumar (Technical Member) has observed that the appellant bank is working as an agent of RBI in the discharge of sovereign functions; therefore, whatever exemption is applicable to RBI, that should also be applicable to the...

No Service Tax Payable On Construction Services Provided To Educational Institutions Prior To 30.06.2012: CESTAT

The Chennai Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that service tax is not payable on the construction services provided to educational institutions for the disputed period, which is prior to 30.06.2012.The bench of Sulekha Beevi.C.S. (Judicial Member) and Vasa Seshagiri Rao (Technical Member) have observed that when the building is solely used for educational purposes, the levy of service tax is not attracted. We, therefore, find that the building having...

CESTAT Quashes Service Tax Demand On Insurance Auxiliary Service And Short Account Of Insurance Premium Income

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed the service tax demand on insurance auxiliary services and short accounts of insurance premium income.The bench of Justice Dilip Gupta (President) and Hemambika R. Priya (Technical Member) has observed that the CENVAT credit of the group health insurance policy for the employees cannot be denied to the assessee, Oriental Insurance Company.The appellant/assessee is a company incorporated under the...

No Service Tax Payable By CIPLA On Manufacturing And Exporting Of Pharmaceutical Products: CESTAT

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that no service tax is payable by Cipla on the manufacturing and export of pharmaceutical products.The bench of Binu Tamta (Judicial Member) and Hemambika R. Priya (Technical Member) has observed that the respondent-assessee is a holder of a letter of approval issued by the Development Commissioner for the manufacture of pharmaceutical products within the Special Economic Zone, Pithampur, Indore. The...

Co-Owners Holding Immovable Property To Be Treated As Independent Service Provider For Service Tax Exemption: CESTAT

The Ahmedabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that co-owners holding immovable property should be treated as independent service providers for the purpose of availing service tax exemption.The bench of Ramesh Nair (Judicial Member) and C.L. Mahar (Technical Member) has observed the decision in the case of Sarojben Khushalchand versus Commissioner of Service Tax, in which it was held that the rent received by individuals owning property jointly...

Activity Of Electroplating Amounts To Manufacture, No Service Tax Payable: CESTAT

The Chandigarh Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the activity of electroplating amounts to manufacture and no service tax is payable.The bench of S. S. Garg (Judicial Member) and P. Anjani Kumar (Technical Member) has observed that electroplating of electrical contacts by the appellant amounts to manufacture, and therefore they are not liable to pay service tax in view of the specific exclusion in the definition of business auxiliary service,...

CESTAT Quashes Service Tax Demand On Housekeeping Services Provided To UN Agencies

The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has quashed the service tax demand in respect of housekeeping services provided to UN agencies and educational institutions.The bench of Rachna Gupta (Judicial Member) and Hemambika R. Priya (Technical Member) has observed that the exemption to the United Nations is general in nature, and services provided to UNDP, UNICEF, UN Women, UNAIDS, UNODC, and UNOPS are available on the basis of Mega Exemption Notification...