https://www.taxtmi.com/caselaws?id=421994 Compensation received on cancellation of a coal block allocation under the Coal Mines (Special Provisions) Act, 2015 was treated as statutory reimbursement, not consideration for a taxable declared service. Service tax on tolerating an act requires a choice to tolerate, actual tolerance, and consideration under an agreement, express or implied. Because the cancellation operated by law and the compensation was provided to cover investment in land and mine infrastructure, it could not be characterised as payment for tolerating cancellation. The receipt was therefore outside the scope of the declared service provision and was not liable to service tax. en-us Wed, 04 May 2022 00:00:00 +0530 Fri, 06 May 2022 08:31:13 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=421994 Compensation received on cancellation of a coal block allocation under the Coal Mines (Special Provisions) Act, 2015 was treated as statutory reimbursement, not consideration for a taxable declared service. Service tax on tolerating an act requires a choice to tolerate, actual tolerance, and consideration under an agreement, express or implied. Because the cancellation operated by law and the compensation was provided to cover investment in land and mine infrastructure, it could not be characterised as payment for tolerating cancellation. The receipt was therefore outside the scope of the declared service provision and was not liable to service tax. Case-Laws Service Tax Wed, 04 May 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=421994