https://www.taxtmi.com/caselaws?id=780243 CESTAT MUMBAI - AT held that Indian banks are not recipients of services by foreign banks in export/import transactions for settling foreign remittances and thus are not liable to pay service tax under the Reverse Charge Mechanism, both pre- and post-07.2012. The tribunal noted contract terms (irrevocable letters of credit with banking charges for the importer) and aligned with prior CESTAT and HC precedent finding the exporter/importer, not the bank, liable. The adjudicated demands, interest and penalties in the impugned orders are set aside and the appeals are allowed. en-us Thu, 23 Oct 2025 00:00:00 +0530 Mon, 27 Oct 2025 09:17:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=780243 CESTAT MUMBAI - AT held that Indian banks are not recipients of services by foreign banks in export/import transactions for settling foreign remittances and thus are not liable to pay service tax under the Reverse Charge Mechanism, both pre- and post-07.2012. The tribunal noted contract terms (irrevocable letters of credit with banking charges for the importer) and aligned with prior CESTAT and HC precedent finding the exporter/importer, not the bank, liable. The adjudicated demands, interest and penalties in the impugned orders are set aside and the appeals are allowed. Case-Laws Service Tax Thu, 23 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=780243