Consideration nexus: donations to charities for free training are not service taxable absent linkage to trainees. Donations and grants in aid given generally to a charitable foundation for free livelihood training lack the requisite nexus to be treated as consideration for commercial training or coaching service. As such, where payments are not made for a specific trainee or specific training activity but support the foundation's charitable purpose, they do not qualify as taxable consideration and service tax is not leviable; field formations should issue appropriate notices.
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.
Consideration nexus: donations to charities for free training are not service taxable absent linkage to trainees.
Donations and grants in aid given generally to a charitable foundation for free livelihood training lack the requisite nexus to be treated as consideration for commercial training or coaching service. As such, where payments are not made for a specific trainee or specific training activity but support the foundation's charitable purpose, they do not qualify as taxable consideration and service tax is not leviable; field formations should issue appropriate notices.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.