Promissory note presumption of consideration survives blank-signature and income-tax non-disclosure objections when admissions and attesting evidence ...
Charitable registration cancellation: limitation and jurisdiction upheld, but withdrawal quashed under discontinued provisions for skill-development e...
CESTAT held that retention charges from customers who cancelled reservations were not taxable under Section 66E(e) of the Finance Act as there was no agreement to tolerate an act. These amounts constituted damages/compensation rather than consideration for service. Similarly, amounts recovered from employees for subsidized canteen food were not taxable as providing such food was a legal obligation under labor laws, distinct from the restaurant's commercial operations. The Tribunal concluded that service tax could not be levied on either the retention charges or employee meal recoveries, and consequently dismissed the Revenue's appeal, rejecting associated interest and penalty demands.
CESTAT held that retention charges from customers who cancelled reservations were not taxable under Section 66E(e) of the Finance Act as there was no agreement to tolerate an act. These amounts constituted damages/compensation rather than consideration for service. Similarly, amounts recovered from employees for subsidized canteen food were not taxable as providing such food was a legal obligation under labor laws, distinct from the restaurant's commercial operations. The Tribunal concluded that service tax could not be levied on either the retention charges or employee meal recoveries, and consequently dismissed the Revenue's appeal, rejecting associated interest and penalty demands.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 4803
Join Channel
TaxTMI 
