2016 (2) TMI 26

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....ious banks as its Members and provides various activity to the member banks like organising meetings with Finance Minister, Chief Executives of various banks, intervening in court cases and representing the banking industry, issuing periodical newsletter/bulletin, giving publicity, negotiates wages between the employees union and banks. For conducting all these activity, the appellant charges its member banks an amount towards subscription and also charges some processing fees for empanelment of various service providers. Revenue authorities are of the view that these amount collected by the appellant would be taxable under the category of Club and Association Services and Convention Services. Show cause notice which was issued was adjudica....

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....es and various charges for conducting conferences, seminars for its own members or otherwise. 6. The undisputed facts are that the appellant is an association of members of various banks, public sector undertakings, private banks or cooperative banks. They are governed by the Rules of the Indian Banks Association and provide various services to their members. It is also undisputed that all the banks within the Indian territory are members of the appellant association. 7. On the background of such factual matrix, we have to now come to the conclusion whether the appellant is rendering any services to their own members, more specifically as to whether they are rendering Club and Association Services or Convention Services. The adjudicating ....

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.... consideration received therefor is not exigible to tax in view of the principle of mutuality; (c) The services provided by the appellants is not authorised for levy and collection of service tax under Club or Association service, in view of declaration of unconstitutionality of the relevant and applicable provisions, by the judgment of the Gujarat High Court in Sports Club of Gujarat Limited vs. Union of India (supra); (d) Services provided by the appellants to non members and the consideration received for rendition of such service, fall outside the scope of the definition of Club or Association service and the taxable service defined in Section 65(25a) read with Section 65(105)(zzze) of the Act, prior to 01.05.2011; (e) Services....