https://www.taxtmi.com/caselaws?id=761279 CESTAT Ahmedabad held that service tax is not applicable on salary cost recovery between group entities under manpower recruitment services. The appellant recovered actual salary costs for employees deputed to its subsidiary, not providing recruitment services. Following Gujarat HC precedent in Arvind Mills Ltd., the tribunal ruled that identical arrangements within group companies do not attract service tax liability. The impugned order was set aside and appeal allowed, establishing that mere cost recovery between related entities does not constitute taxable service. en-us Wed, 06 Nov 2024 00:00:00 +0530 Wed, 06 Nov 2024 17:44:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=761279 CESTAT Ahmedabad held that service tax is not applicable on salary cost recovery between group entities under manpower recruitment services. The appellant recovered actual salary costs for employees deputed to its subsidiary, not providing recruitment services. Following Gujarat HC precedent in Arvind Mills Ltd., the tribunal ruled that identical arrangements within group companies do not attract service tax liability. The impugned order was set aside and appeal allowed, establishing that mere cost recovery between related entities does not constitute taxable service. Case-Laws Service Tax Wed, 06 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=761279