Constitutional validity of the Parliament to levy Service Tax on financial leasing services including equipment leasing and hire-purchase

[debashis gupta]

To The Authority Tax Management India.com It seems that you have not posted in your website on judgement order passed by Supreme Court on the captioned Subject. The case was between Association of Leasing and Financial Service Companies Vs Union of India and Others  Hints: On dismissal of the petition at Madras High Court, the petitioner filed a civil appeal before Supreme Court. The Supreme Court concluded the matter by the judgement that - Service Tax imposed by section 66 of the  Finance Act, 1994, (as amended) on the value of taxable services referred to in Section 65(105)(zm) read with Section 65(12) of the said Act, insofar as it relates to financial leasing services including equipment leasing and hire-purchase is within the legislative competence of the Parliament under Entry 97 of List I of the Seventh Schedule to the Constitution. If the said case detail is posted , then pl. let me know the date of publication otherwise do the needful on your part. With best regards, Debashis Gupta Id debasheesgupta email ID [email protected]

AI Summary

Supreme Court Confirms Parliament's Power to Levy Service Tax on Financial Leasing Services Under Finance Act, 1994 The discussion revolves around the constitutional validity of the Parliament's authority to levy service tax on financial leasing services, including equipment leasing and hire-purchase. The issue was raised following a Supreme Court judgment in the case between the Association of Leasing and Financial Service Companies and the Union of India. The Supreme Court upheld the Parliament's competence to impose such a tax under the Finance Act, 1994, affirming its legislative authority under Entry 97 of List I of the Seventh Schedule to the Constitution. The initial petition was dismissed by the Madras High Court before the appeal reached the Supreme Court.