Broker principal transactions taxable when with non-members; exchange-member jobbing transactions not subject to service tax. A broker's transaction is a Taxable Service when the broker functions as a principal in dealings with a non-member of the stock exchange; when the broker transacts on his own account as a constituent with another member (jobbing) on the exchange floor, that transaction is not liable to service tax.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Broker principal transactions taxable when with non-members; exchange-member jobbing transactions not subject to service tax.
A broker's transaction is a Taxable Service when the broker functions as a principal in dealings with a non-member of the stock exchange; when the broker transacts on his own account as a constituent with another member (jobbing) on the exchange floor, that transaction is not liable to service tax.
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