Help required regarding amendment in Legal Service RCM

[paresh ayadi]

Sir,

I have two queries regarding amendment in finance bill, 2016 with regards to legal services.

1. Whether all Service by 'Senior Advocates' are liable for forward charge or only service provided to 'Junior Advocates' are under forward charge ??

2 - exe mption withdrawn on service provided by (i)....(ii) a person represented on an arbitral tribunal to an arbitral tribunal........What is meaning of it ??

Thanks

[KASTURI SETHI]

Sh.Paresh Ayadi Ji,

Reply to your queries are as under :-

Q. No.1. Yes all services provided by Senior Advocates fall under forward charge but still exemptions are available to them.

Q.No.2. Arbitral Tribunal is non-judicial court.It is out of Code of Civil Procedures, 1908 or Indian Evidence Act, 1872 and out of judicial court. This is pre-stage to judicial court. It is a substitute for court of law.. for example ; Lok Adalat, various Settlement Commissions and other commissions set up investigations etc. Arbitrator mean referee, umpire, advocate, etc. So the service provided by such person from one forum to another forum is taxable.

[KASTURI SETHI]

Sh.Paresh Ayadi Ji,

Pl. refer to my reply dated 8.5.2016.

RECTIFICATION

The words, "Other Commissions set up for investigations" may be read as "Other Commissions".

I further elaborate my reply as under:-

Deputation as an advocate, referee, umpire etc. from one tribunal to an other tribunal is also covered in this service. Sometimes ICC, BCCI etc. also act as Arbitral Tribunal when these impose penalty, fine upon a player. Sometimes they suspend any player for one or two matches or impose ban for life. After exhausting the channel, the accused player go the the Court.

[Ganeshan Kalyani]

Thanks Sri Kasturi Sir you reply enriched my knowledge. Thanks.

[paresh ayadi]

Thank you very much sir....

AI Summary

Senior Advocates: all services attract forward charge under amended legal services RCM, with limited exemptions available. All services by Senior Advocates fall under forward charge under the amended Legal Services RCM, though certain exemptions remain. An Arbitral Tribunal is treated as a non judicial forum outside CPC and Evidence Act frameworks; representation or deputation (as advocate, referee, umpire etc.) between tribunals or commissions is taxable, including when bodies act as arbitral forums for disciplinary measures.