https://www.taxtmi.com/article/detailed?id=16943 Service tax on a free corporate guarantee requires actual consideration. Consideration determines whether a taxable service exists, while valuation applies only after taxability is established. A notional guarantee commission, commercial benefit, improved borrowing access or favourable lending terms cannot by themselves create taxable consideration in the guarantor's hands. Under GST, however, related-party corporate guarantees require analysis under the applicable deeming and valuation provisions for the relevant period. en-us Wed, 15 Jul 2026 08:22:40 +0530 Wed, 15 Jul 2026 08:22:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=16943 Service tax on a free corporate guarantee requires actual consideration. Consideration determines whether a taxable service exists, while valuation applies only after taxability is established. A notional guarantee commission, commercial benefit, improved borrowing access or favourable lending terms cannot by themselves create taxable consideration in the guarantor's hands. Under GST, however, related-party corporate guarantees require analysis under the applicable deeming and valuation provisions for the relevant period. Articles Service Tax Wed, 15 Jul 2026 08:22:40 +0530 https://www.taxtmi.com/article/detailed?id=16943