TaxTMI 
TaxTMI 
2017 (10) TMI 904
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....t is submitted by the learned counsel on either side that the issue involved in these Writ Petitions is squarely covered by the decision of the Court, in the case of (Polyspin Exports Limited Vs. Union of India) reported in 2011 (22) S.T.R.9 (Mad) and for better appreciation, the relevant portion of the said decision reads as follows:- "6. On the other hand the learned Senior Counsel Mr. Venkatraman appearing for the Petitioner argued that having regard to the resent judgment of the Hon'ble Supreme Court upholding the judgment of the Bombay High Court rendered in 2009 (13) S.T.R. 235. (Indian National Shipowners Association v. Union of India) the writ petitions are liable to be allowed. Nevertheless, for the purpose....
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....oduced with effect from 18-4-2006 which reads as follows: "Where any service specified in Clause (105) of Section 65 is a. Provided or to be provided by a person who has established a business or has a fixed establishment from which the service is provided or to be provided or has his permanent address or usual place of resident, in a country other than India and b. Received by a person who has his place of business, fixed establishment, permanent address or usual place of residence, in India. Such service shall, for the purposes of this section, be the taxable service, and such taxable service shall be treated as if the recipient had himself provided the service in India, and accordingly all the provisio....
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....son in India under Section 55A of the Act, the recipient of such service." 8. In the judgment rendered in 2009 (13) S.T.R. 235 (Bom.) (Indian National Shipowners Association v. Union of India), the petitioners challenged the constitutional validity of Section 66A of the Finance Act explanation to Section 65(105) which was in force between 16-6-2005 to 17-4-2006 and Rule 2(1)(d)(iv) of Service Tax Rule 1994, in certain with effect from 16-8-2002. 9. The Bombay High Court after carefully analysing the provisions of the Income Tax and Service tax and after following the judgment of the Hon'ble Supreme Court rendered in Laghu Udyog Bharati v. Union of India reported in 2006 (2) S.T.R. 276 : 1999 (112) E.L.T. 35....
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....the services received by the vessels and ships of the members of the Petitioners association outside India, from persons who are non-residents of India and are from outside India." 10. Therefore, as per the judgment of Bombay High Court service tax cannot be levied prior to 17-4-2006 and the charge was created only after the introduction to Section 66A of the Finance Act. The judgment of the Bombay High Court referred to above was upheld by the Hon'ble Supreme Court in SLP Civil No. 1893 of 2009 on 14-12-2009 and the same is reported in 2010 (17) S.T.R. J57. Therefore, having regard to the judgment of the Bombay High Court which was later approved by the Hon'ble Supreme Court, the authorities have no power to levy the servi....