https://www.taxtmi.com/caselaws?id=396803 The tribunal held that foreclosure charges collected by banks and non-banking financial companies on premature termination of loans are not subject to service tax under "banking and other financial services." The charges were deemed as compensation for breach of contract, not consideration for a service provided, thus not falling under taxable services as defined by the Finance Act. The decision favored the respondent, setting aside the demand for service tax and emphasizing that foreclosure charges do not attract service tax liability. en-us Mon, 08 Jun 2020 00:00:00 +0530 Tue, 13 Sep 2022 12:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=396803 The tribunal held that foreclosure charges collected by banks and non-banking financial companies on premature termination of loans are not subject to service tax under "banking and other financial services." The charges were deemed as compensation for breach of contract, not consideration for a service provided, thus not falling under taxable services as defined by the Finance Act. The decision favored the respondent, setting aside the demand for service tax and emphasizing that foreclosure charges do not attract service tax liability. Case-Laws Service Tax Mon, 08 Jun 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=396803