https://www.taxtmi.com/caselaws?id=795471 Payment based on the quantity of water actually consumed under an agreement with a State Government is characterised as consideration for the sale of water, not for assignment of the right to use a natural resource. The recipient's drawing and conveyance of water to its plant does not change that character. Accordingly, the transaction does not attract service tax under the reverse charge mechanism. The analysis notes consistency with prior decisions involving identical transactions and an earlier merits-based order concerning the same assessee. en-us Mon, 13 Jul 2026 00:00:00 +0530 Thu, 23 Jul 2026 08:42:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=795471 Payment based on the quantity of water actually consumed under an agreement with a State Government is characterised as consideration for the sale of water, not for assignment of the right to use a natural resource. The recipient's drawing and conveyance of water to its plant does not change that character. Accordingly, the transaction does not attract service tax under the reverse charge mechanism. The analysis notes consistency with prior decisions involving identical transactions and an earlier merits-based order concerning the same assessee. Case-Laws Service Tax Mon, 13 Jul 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=795471