Contractual tolerance requires consideration; breach recoveries, qualifying public infrastructure services and road works escape service tax liability...
Helicopter charter classification requires effective control analysis, while territorial performance, reasoned credit orders and wilful suppression de...
Agency in CNG distribution makes outlet operators commission agents, rendering taxable Business Auxiliary Service rather than purchasing goods for res...
Works contract classification governs composite layout-development contracts where VAT-paid goods are transferred alongside construction and infrastru...
Service tax under reverse charge applies to royalty paid by a mining lessee for the right to use natural resources after 1 April 2016, when Government services to business entities were removed from the negative list. The text treats royalty as contractual consideration for mineral rights rather than a tax. It explains that the small service provider threshold exemption is unavailable where tax is payable by the service recipient under reverse charge. It further addresses extended limitation and penalties, stating that failure to register, pay tax and file returns despite contemporaneous departmental clarification may constitute deliberate suppression with intent to evade tax, supporting the extended period, interest and penalties for suppression, non-registration and non-filing.
Service tax under reverse charge applies to royalty paid by a mining lessee for the right to use natural resources after 1 April 2016, when Government services to business entities were removed from the negative list. The text treats royalty as contractual consideration for mineral rights rather than a tax. It explains that the small service provider threshold exemption is unavailable where tax is payable by the service recipient under reverse charge. It further addresses extended limitation and penalties, stating that failure to register, pay tax and file returns despite contemporaneous departmental clarification may constitute deliberate suppression with intent to evade tax, supporting the extended period, interest and penalties for suppression, non-registration and non-filing.
Note: It is a system-generated summary and is for quick reference only.
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