2017 (12) TMI 18

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....letus, ADC (AR) ORDER The brief facts of the case are that the appellants received brokerage from the Reserve Bank of India for the sale of Government bonds for the period July, 2001 to June, 2003. The department was of the view that the amount received as brokerage was subject to levy of service tax under the category of Banking and Other Financial Services. The show-cause notice was issued rai....

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.... (Tri-Ahmd.), it was held that the activities done on behalf of RBI would amount to sovereign function and there cannot be any levy of service tax on the amounts received for such functions. Similar, view was taken in HDFC Bank Ltd. Vs Commissioner of Service Tax, Mumbai reported in 2015 (37) S.T.R. 779 (Tri. -Mumbai) and Enam Securities Pvt. Ltd. Vs Commissioner of Service Tax, Mumbai reported in....

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....tion issued by the RBI vide letter dated 28-10-2004, copy of which is available on record, the said bonds issued under Section 2(2) of Public Debt Act, 1944, constitute a Government security and the bonds were issued by the Government for raising a public loan. Therefore, these is no doubt that the tax savings bonds issued by the RBI and sold by the appellant bank is a Government Security. For thi....