service tax liability on association of radiation oncologist of india

[satbir singhwahi]

Kindly Guide.

Association of radiation oncologist of India, a registered society for the education and benefit of Doctor members and Society against Cancer decease.Whether the receipts in form of contribution from members and interest on bank deposit, is taxable under service tax.

[KASTURI SETHI]

It is service to self . As per Explanation 3 to Section 65 B (44) of the Finance Act, 1994,

(a) an unincorporated association or a body of persons, as the case may be, and a member thereof shall be treated as distinct persons;

If the association is incorporated under any law, the services provided by such association to its members would be treated as self-service and would be out of definition of service. Hence out of gamut of Service Tax net.

Case laws can be traced out easily.

[Shilpi Jain]

Agree with Kasturi sir. There have also been instances where assesses have applied for refunds of any taxes paid under ST in theese kind of cases

[satbir singhwahi]

Thanks sir, please give case laws , I need to reply to dept. , they are asking service tax to pay.

[KASTURI SETHI]

Dear Sir,

I am of the view that it is not out of your reach. Only hard work is required to find case laws on this issue.

AI Summary

Radiation Oncologists' Association: Are Member Contributions and Bank Interest Subject to Service Tax? Exemption Under Finance Act, 1994 Explored. An inquiry was raised regarding the service tax liability of the Association of Radiation Oncologists of India, a registered society focused on education and cancer prevention. The question concerned whether contributions from members and interest on bank deposits are taxable under service tax. Responses indicated that if the association is incorporated, services to its members are considered self-service and thus exempt from service tax under the Finance Act, 1994. It was suggested that relevant case laws could support this position, and there have been instances of tax refunds in similar situations.