https://www.taxtmi.com/caselaws?id=797267 Referral charges earned for promoting and marketing vehicle-loan and insurance facilities, including informing dealers and customers and facilitating customer referrals, fall within taxable Business Auxiliary Service under the Finance Act, 1994. Service tax therefore remains payable on that consideration. Where the entire short-paid service-tax liability is discharged before issuance of a show-cause notice, the pre-notice payment framework requires that notice not be issued. Uncertainty over the taxability of referral income explained its non-disclosure in returns; consequently, penalty for suppression under the Finance Act, 1994 cannot be sustained and is set aside. en-us Wed, 19 Aug 2026 00:00:00 +0530 Thu, 20 Aug 2026 08:14:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=797267 Referral charges earned for promoting and marketing vehicle-loan and insurance facilities, including informing dealers and customers and facilitating customer referrals, fall within taxable Business Auxiliary Service under the Finance Act, 1994. Service tax therefore remains payable on that consideration. Where the entire short-paid service-tax liability is discharged before issuance of a show-cause notice, the pre-notice payment framework requires that notice not be issued. Uncertainty over the taxability of referral income explained its non-disclosure in returns; consequently, penalty for suppression under the Finance Act, 1994 cannot be sustained and is set aside. Case-Laws Service Tax Wed, 19 Aug 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=797267