Dear Learned Friends,
In 2013 Kerala High court in an Order held the Service Tax levy on Restaurant as 'unconstitutional'. Kindly clarify whether this order of Kerala High court's Order or similar orders from other High courts have been overruled by the Apex court.
Regards,
K.S
Debate Over Service Tax on Restaurants: Conflicting High Court Rulings Create Legal Ambiguity; VAT and Service Tax Allocation Discussed A discussion in a forum addresses the legality of service tax levies on restaurants. A 2013 Kerala High Court ruling deemed such levies unconstitutional, but this was not upheld by the Bombay High Court in a 2014 case. The lack of a Supreme Court ruling on the matter leaves ambiguity. The forum also references a Uttarakhand High Court decision, which suggests that VAT should not be applied to the portion of a bill that incurs service tax, advocating for VAT on 60% of the bill and service tax on 40%. Participants seek clarification on these conflicting judgments and their implications. (AI Summary)