Service tax liability of a co-operative society left for adjudication, with refund liberty preserved if no liability is found.

Service tax liability of a co-operative society under Section 65(12)(v) of the Finance Act, 1994 was left for determination by the competent authority, as the HC did not decide the merits in the writ proceedings. The petitioners were directed to pursue adjudication before that authority, and they were given liberty to seek refund of amounts paid under protest if no service tax liability was ultimately found.

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Issues: Whether the petitioners' co-operative society was liable to pay service tax under Section 65(12)(v) of the Finance Act, 1994, and whether amounts already paid under protest were refundable if liability was not upheld.

Outcome: The writ petitions were disposed of by directing the petitioners to pursue the matter before the competent authority for adjudication of service tax liability, with liberty for refund of the amount paid under protest if the authority ultimately found no liability.

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