Service tax on mutual fund loads denied; AMC fund management fees and related distributor services remain taxable. Entry and exit load levied by a mutual fund are not subject to service tax because they meet initial issue and scheme expenses and are not payment for fund management; by contrast the AMC's recurring investment and advisory fee for fund/asset management and services provided by distributors, brokers, custodians and trustees are taxable under their respective service categories.
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.
Service tax on mutual fund loads denied; AMC fund management fees and related distributor services remain taxable.
Entry and exit load levied by a mutual fund are not subject to service tax because they meet initial issue and scheme expenses and are not payment for fund management; by contrast the AMC's recurring investment and advisory fee for fund/asset management and services provided by distributors, brokers, custodians and trustees are taxable under their respective service categories.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
