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The case involved a dispute u/s business auxiliary services and reverse charge mechanism for foreign bank charges. The Appellate Tribunal held that since the appellant had no direct dealing with the foreign bank, any taxable service would be between the foreign bank and Indian bank. The Indian bank, not the appellant, was liable for service tax. The appellant had already paid service tax to the Indian bank. The Tribunal found the demand unsustainable, setting aside the order and allowing the appeal. The issue was not new, leading to the decision in favor of the appellant.
The case involved a dispute u/s business auxiliary services and reverse charge mechanism for foreign bank charges. The Appellate Tribunal held that since the appellant had no direct dealing with the foreign bank, any taxable service would be between the foreign bank and Indian bank. The Indian bank, not the appellant, was liable for service tax. The appellant had already paid service tax to the Indian bank. The Tribunal found the demand unsustainable, setting aside the order and allowing the appeal. The issue was not new, leading to the decision in favor of the appellant.
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