https://www.taxtmi.com/caselaws?id=766256 CESTAT Mumbai set aside the rejection of a declaration under Voluntary Compliance Encouragement Scheme (VCES), 2013 regarding alleged service tax liability on remuneration paid to part-time directors. The adjudicating authority failed to examine the directors' employment terms or contractual arrangements before determining tax liability. The tribunal held that machinery provisions under Service Tax Rules, 1994 cannot determine liability without proper examination of employment contracts. The casual discard of relevant compensation aspects rendered the findings invalid. Matter remanded to original authority for thorough examination of employment terms and contractual arrangements to establish accurate tax liability. en-us Wed, 19 Feb 2025 00:00:00 +0530 Fri, 21 Feb 2025 08:23:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=766256 CESTAT Mumbai set aside the rejection of a declaration under Voluntary Compliance Encouragement Scheme (VCES), 2013 regarding alleged service tax liability on remuneration paid to part-time directors. The adjudicating authority failed to examine the directors' employment terms or contractual arrangements before determining tax liability. The tribunal held that machinery provisions under Service Tax Rules, 1994 cannot determine liability without proper examination of employment contracts. The casual discard of relevant compensation aspects rendered the findings invalid. Matter remanded to original authority for thorough examination of employment terms and contractual arrangements to establish accurate tax liability. Case-Laws Service Tax Wed, 19 Feb 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=766256