https://www.taxtmi.com/caselaws?id=291250 Delayed payment charges recovered from customers on overdue instalments were treated as penal charges for late payment, not as consideration for a taxable service under Banking and Other Financial Services. The analysis relied on departmental clarification that such delayed payment charges are not charges for providing taxable services and therefore do not form part of the taxable value. On that basis, incidental charges recovered on delayed instalments were also excluded from the tax base, and no service tax was payable on them. en-us Wed, 18 Dec 2019 00:00:00 +0530 Tue, 03 Nov 2020 11:16:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=291250 Delayed payment charges recovered from customers on overdue instalments were treated as penal charges for late payment, not as consideration for a taxable service under Banking and Other Financial Services. The analysis relied on departmental clarification that such delayed payment charges are not charges for providing taxable services and therefore do not form part of the taxable value. On that basis, incidental charges recovered on delayed instalments were also excluded from the tax base, and no service tax was payable on them. Case-Laws Service Tax Wed, 18 Dec 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=291250