whether the share premium charged by the Indian Company while allotment of shares to their parent Company (based outside India) is liable for service tax under the Finance Ac https://www.taxtmi.com/forum/issue?id=108578 The premium charged on allotment may be characterised either as taxable consideration for a declared service of agreeing to do an act, or as part of the issue price of securities excluded from service taxation under the principal-to-principal transfer exclusion; if premium is non-taxable, potential Cenvat credit reversal is contested because reversal rules apply to exempted services and a non-service transaction would not trigger them. en-us Mon, 11 May 2015 13:16:33 +0530 Thu, 23 Jan 2025 15:56:54 +0530 TaxTMI RSS Generator whether the share premium charged by the Indian Company while allotment of shares to their parent Company (based outside India) is liable for service tax under the Finance Ac https://www.taxtmi.com/forum/issue?id=108578 The premium charged on allotment may be characterised either as taxable consideration for a declared service of agreeing to do an act, or as part of the issue price of securities excluded from service taxation under the principal-to-principal transfer exclusion; if premium is non-taxable, potential Cenvat credit reversal is contested because reversal rules apply to exempted services and a non-service transaction would not trigger them. Discussion-Forum Service Tax Mon, 11 May 2015 13:16:33 +0530 https://www.taxtmi.com/forum/issue?id=108578