https://www.taxtmi.com/caselaws?id=773246 CESTAT Kolkata held that loans for two-wheeler purchases with hypothecated assets constitute lending services, not financial leasing services, as ownership remains with borrower. Service tax demand on interest income from such loans was set aside. Demand for period covered under VCES 2013 scheme was dismissed except for January 2013-March 2014, which was remanded for quantification. Agreement charges demand was set aside due to double calculation. Legal charges demand on reverse charge basis was upheld. Penalties under Sections 78 and 78A were dropped for lack of statutory authority and insufficient evidence of willful suppression. en-us Wed, 18 Jun 2025 00:00:00 +0530 Thu, 19 Jun 2025 11:09:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773246 CESTAT Kolkata held that loans for two-wheeler purchases with hypothecated assets constitute lending services, not financial leasing services, as ownership remains with borrower. Service tax demand on interest income from such loans was set aside. Demand for period covered under VCES 2013 scheme was dismissed except for January 2013-March 2014, which was remanded for quantification. Agreement charges demand was set aside due to double calculation. Legal charges demand on reverse charge basis was upheld. Penalties under Sections 78 and 78A were dropped for lack of statutory authority and insufficient evidence of willful suppression. Case-Laws Service Tax Wed, 18 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773246