Defined public benefit can retain charitable character; registration renewal requires examining genuine activities and legal compliance, not surplus a...
Capital reduction is distinct from share buy-back, preventing buy-back tax; restructuring interest and related business deductions also survive scruti...
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Captive transfer pricing relies on industrial consumer tariffs, while genuine quotations can benchmark effluent treatment transfers under the Other Me...
Specific tariff classification for ophthalmic instruments and extended limitation principles determine the treatment of duty demands, confiscation, an...
Integrated golf function determines classification, placing launch monitors and simulators under other golf equipment rather than measuring instrument...
The tribunal held that service tax under reverse charge mechanism is not leviable on commission paid to directors treated as salary in the company's books of accounts and subjected to TDS deduction under Income Tax Act. As per Section 65B(44)(b) of Finance Act, 1994, services by an employee to employer in the course of employment do not constitute 'service'. The directors are employees of the company and the commission paid is for services rendered in their employment capacity, not liable to service tax. The treatment of commission as salary in books, TDS deduction, and CBEC Circular No. 115/9/2009-ST dated 31.07.2009 further support the position that such commission is not taxable as Business Auxiliary Service. Consequently, the demand for service tax was set aside by the appellate tribunal.
The tribunal held that service tax under reverse charge mechanism is not leviable on commission paid to directors treated as salary in the company's books of accounts and subjected to TDS deduction under Income Tax Act. As per Section 65B(44)(b) of Finance Act, 1994, services by an employee to employer in the course of employment do not constitute 'service'. The directors are employees of the company and the commission paid is for services rendered in their employment capacity, not liable to service tax. The treatment of commission as salary in books, TDS deduction, and CBEC Circular No. 115/9/2009-ST dated 31.07.2009 further support the position that such commission is not taxable as Business Auxiliary Service. Consequently, the demand for service tax was set aside by the appellate tribunal.
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