https://www.taxtmi.com/caselaws?id=32064 Chit fund transactions were treated as a special form of contract with a distinct legal character, and the amended service tax entry did not specifically include chit funds within "cash management". Applying strict construction of taxing provisions, the court held that a levy cannot be extended by circular or by reliance on dictionary meaning or the RBI Act where the statute itself does not clearly cover the activity. The chit fund business was therefore outside the service tax net, and the impugned circular was invalid; the service tax demand was set aside for want of specific statutory authority. en-us Mon, 14 Jul 2008 00:00:00 +0530 Wed, 05 Dec 2018 16:31:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=32064 Chit fund transactions were treated as a special form of contract with a distinct legal character, and the amended service tax entry did not specifically include chit funds within "cash management". Applying strict construction of taxing provisions, the court held that a levy cannot be extended by circular or by reliance on dictionary meaning or the RBI Act where the statute itself does not clearly cover the activity. The chit fund business was therefore outside the service tax net, and the impugned circular was invalid; the service tax demand was set aside for want of specific statutory authority. Case-Laws Service Tax Mon, 14 Jul 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=32064