https://www.taxtmi.com/highlights?id=79913 Detailed legal analysis regarding levy of service tax on 'Call Option Fee' during 2007-08 to 2013-14. Held that 'Call Option' is a derivative or right in securities under Securities Contracts (Regulation) Act, 1956 (SCRA), hence a transaction in goods not subject to service tax under Finance Act, 1994. Supreme Court in Vodafone case discussed 'Call Options' without indicating illegality. Consideration for Call Option, not for ancillary requirement of holding shares. Call options fall under activities excluded from 'service' definition u/s 65B(44). Extended period of limitation wrongly invoked without evidence of intent to evade tax. Penalty wrongly imposed as no deliberate deception to evade duty. Order set aside, appeal allowed. en-us Wed, 31 Jul 2024 08:35:44 +0530 Wed, 31 Jul 2024 08:35:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=79913 Detailed legal analysis regarding levy of service tax on 'Call Option Fee' during 2007-08 to 2013-14. Held that 'Call Option' is a derivative or right in securities under Securities Contracts (Regulation) Act, 1956 (SCRA), hence a transaction in goods not subject to service tax under Finance Act, 1994. Supreme Court in Vodafone case discussed 'Call Options' without indicating illegality. Consideration for Call Option, not for ancillary requirement of holding shares. Call options fall under activities excluded from 'service' definition u/s 65B(44). Extended period of limitation wrongly invoked without evidence of intent to evade tax. Penalty wrongly imposed as no deliberate deception to evade duty. Order set aside, appeal allowed. Highlights Service Tax Wed, 31 Jul 2024 08:35:44 +0530 https://www.taxtmi.com/highlights?id=79913