https://www.taxtmi.com/caselaws?id=115307 Service tax on consulting engineer services rendered by a foreign firm could not be fastened on the Indian recipient merely because the recipient paid under the contract or provided office and allied facilities. Under the unamended Rule 6(1) of the Service Tax Rules, liability lay on the foreign service provider or, where applicable, its agent or authorised person, and the recipient was not liable on that basis. After the 16-8-2002 amendment, tax could be shifted to the recipient only if the foreign provider had no office in India. On the stated facts, the foreign consultant was treated as having an office in India, so the demand and penalty were unsustainable. en-us Wed, 23 Feb 2005 00:00:00 +0530 Sat, 14 Jul 2012 11:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=115307 Service tax on consulting engineer services rendered by a foreign firm could not be fastened on the Indian recipient merely because the recipient paid under the contract or provided office and allied facilities. Under the unamended Rule 6(1) of the Service Tax Rules, liability lay on the foreign service provider or, where applicable, its agent or authorised person, and the recipient was not liable on that basis. After the 16-8-2002 amendment, tax could be shifted to the recipient only if the foreign provider had no office in India. On the stated facts, the foreign consultant was treated as having an office in India, so the demand and penalty were unsustainable. Case-Laws Service Tax Wed, 23 Feb 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=115307