Clean slate principle extinguishes uncrystallised operational claims and bars continuation of pending recovery and arbitral proceedings after plan app...
Works contract classification governs composite layout-development contracts where VAT-paid goods are transferred alongside construction and infrastru...
Specified income tax exemption for pollution control body remains conditional on non-commercial activity, unchanged income character, and return filin...
Service tax liability cannot be imposed twice on the same transaction. The appellant, as a service recipient, was required to pay 75% of the service tax under the reverse charge mechanism for manpower supply agency services. However, the undisputed fact is that the service provider, M/s. Kalpataru Job Management, had already discharged 100% of the applicable service tax, as reflected in their invoice. Demanding service tax from the appellant would amount to recovering the tax twice, which is impermissible. The CESTAT Bangalore Bench in Kerala Ceramics Ltd vs CCE case held that if the transporter has discharged the service tax liability and provided documentary evidence, the same cannot be demanded from the recipient. Since 100% service tax was paid by the service provider, it cannot be recovered from the appellant. Consequently, the impugned order is set aside, and the appeal is allowed.
Service tax liability cannot be imposed twice on the same transaction. The appellant, as a service recipient, was required to pay 75% of the service tax under the reverse charge mechanism for manpower supply agency services. However, the undisputed fact is that the service provider, M/s. Kalpataru Job Management, had already discharged 100% of the applicable service tax, as reflected in their invoice. Demanding service tax from the appellant would amount to recovering the tax twice, which is impermissible. The CESTAT Bangalore Bench in Kerala Ceramics Ltd vs CCE case held that if the transporter has discharged the service tax liability and provided documentary evidence, the same cannot be demanded from the recipient. Since 100% service tax was paid by the service provider, it cannot be recovered from the appellant. Consequently, the impugned order is set aside, and the appeal is allowed.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 4805
Join Channel
TaxTMI 
