https://www.taxtmi.com/caselaws?id=382071 Service tax, treated as an indirect, destination-based consumption tax, may be contractually allocated between contracting parties. By applying Section 83 of the Finance Act, 1994 and the presumption in Section 12B of the Central Excise Act, 1944, the note explains that tax incidence is presumed to have been passed on unless the contract shows a contrary intention; Section 64A of the Sale of Goods Act, 1930 reinforces that approach. The contractual clauses must therefore be construed to determine who bears the burden. On the facts discussed, the clause did not clearly shift liability to the contractor, and the arbitral interpretation was treated as sustainable. en-us Fri, 14 Jun 2019 00:00:00 +0530 Tue, 25 Jun 2019 08:10:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=382071 Service tax, treated as an indirect, destination-based consumption tax, may be contractually allocated between contracting parties. By applying Section 83 of the Finance Act, 1994 and the presumption in Section 12B of the Central Excise Act, 1944, the note explains that tax incidence is presumed to have been passed on unless the contract shows a contrary intention; Section 64A of the Sale of Goods Act, 1930 reinforces that approach. The contractual clauses must therefore be construed to determine who bears the burden. On the facts discussed, the clause did not clearly shift liability to the contractor, and the arbitral interpretation was treated as sustainable. Case-Laws Service Tax Fri, 14 Jun 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=382071