https://www.taxtmi.com/caselaws?id=795897 Procurement of privately owned railway wagons under the Liberalized Wagon Investment Scheme did not constitute a taxable supply of tangible goods for use to the Railways where the wagons were acquired at the assessee's cost, dedicated to its own traffic, and unavailable for the Railways' independent commercial exploitation. A taxable service requires an identifiable service rendered to another person for consideration. The Railways provided transportation to the assessee, while the concessional freight was a policy incentive linked to capital investment rather than consideration for wagon use. The arrangement could not be split into transportation and wagon-supply transactions; consequently, the service-tax demand, interest and penalties were unsustainable. en-us Tue, 28 Jul 2026 00:00:00 +0530 Wed, 29 Jul 2026 08:21:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=795897 Procurement of privately owned railway wagons under the Liberalized Wagon Investment Scheme did not constitute a taxable supply of tangible goods for use to the Railways where the wagons were acquired at the assessee's cost, dedicated to its own traffic, and unavailable for the Railways' independent commercial exploitation. A taxable service requires an identifiable service rendered to another person for consideration. The Railways provided transportation to the assessee, while the concessional freight was a policy incentive linked to capital investment rather than consideration for wagon use. The arrangement could not be split into transportation and wagon-supply transactions; consequently, the service-tax demand, interest and penalties were unsustainable. Case-Laws Service Tax Tue, 28 Jul 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=795897