https://www.taxtmi.com/caselaws?id=760950 Clarification that service tax levied on the Merchant Discount Rate (MDR) subsumes the interchange fee and platform fee, grounded on legislative intent to tax credit card services broadly and to facilitate ease of tax collection; consequence: where service tax has been paid on full MDR there is no separate liability on the issuing bank for the interchange fee and no additional tax is payable, as revenue suffers no loss. The view relies on clause construction treating services by acquiring and issuing banks jointly and on the fact that MDR is the first point of charge and payment. en-us Wed, 16 Oct 2024 00:00:00 +0530 Mon, 19 Jan 2026 15:15:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=760950 Clarification that service tax levied on the Merchant Discount Rate (MDR) subsumes the interchange fee and platform fee, grounded on legislative intent to tax credit card services broadly and to facilitate ease of tax collection; consequence: where service tax has been paid on full MDR there is no separate liability on the issuing bank for the interchange fee and no additional tax is payable, as revenue suffers no loss. The view relies on clause construction treating services by acquiring and issuing banks jointly and on the fact that MDR is the first point of charge and payment. Case-Laws Service Tax Wed, 16 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=760950