TaxTMI 
TaxTMI 
2018 (2) TMI 1567
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....ability on certain considerations received by the appellant for other services rendered by him in his professional capacity as a Chartered Accountant. These service activities are advice on finance, management, social / political issues, legal matters, negotiations, retainer service etc., to various corporate entities. 2. After conducting certain audit and verification of records of the appellant, the Revenue entertained a view that such of the above activities like legal assistance, advisory work etc. were taxable under "Management, Consultant" service in terms of Section 65 (65) read with Section 65 (105) (r) of Finance Act, 1994. Accordingly, proceedings initiated against the appellant resulted in the impugned order dated 28.12.2010 con....
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.... Hence cannot be taxed under any other tax entry during the material time. d) The services rendered would not fall within the scope of "Management Consultancy Service". No specific material analysis of the activities were made before upholding such tax liability. e) In any case, even if the appellant is liable to pay and paid such tax the corporate clients would be eligible for credit. Hence it is a revenue-neutral situation. No suppression of fact can be established in such circumstances. f) Demand for extended period is not sustainable as there is no case for wilful misstatement, suppression of fact etc. in the present dispute. On the same basis, no penalties are also imposable. 4. The Ld. A.R supported the findings of the lowe....
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....te of commencement of business or commencement of other business under section 149 of the Companies Act, 1956 (1 of 1956) or v. signing of the annual return of listed companies under section 161 of the Companies Act, 1956 (1 of 1956); or vi. certification that requirements of Schedule XIII to the Companies Act, 1956 (1 of 1956) have been complied with as regards statutory guidelines for appointment of managerial personnel and payment of managerial remuneration to them without the approval of the Central Government under section 269 and Schedule XIII, of the Companies Act, 1956 (1 of 1956); or vii. certification of documents to be filed by companies with the Registrar of Companies under the Companies Act, 1956 (1 of 1956; or viii. ce....
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.... management of any organization in any manner or recruitment of manpower in any manner shall deemed to be the taxable service provided under the category of management consultant or manpower recruitment agency, as the case may be. Therefore no exemption under this notification shall be applicable to such practising chartered accountant, a practising company secretary or a practising cost accountant." 6. On careful perusal of the above provisions, we find that the same have been properly examined and analysed by the impugned order. The finding in order dt. 28.12.2010 is as below ; "I find that the rationale behind the explanation is that, as rightly pointed out by the assessee themselves that a more specific classification when available ....
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.... framed under the Chartered Accountant Act, 1949 categorically state that Chartered Accountant can practice to render entire range of "Management Consultancy and other Services". Para 2.2.4 defines such services. We have perused the same. We are in agreement with the finding recorded by the lower authority on this issue. 8. The appellant contested the tax liability for services rendered to Dishnet DSL Ltd. and Essel Mining Industries on the ground that these are more in the nature of legal services. We have perused the relevant agreements. For Dishnet, the appellant was to provide legal services and other services that shall be especially required by Dishnet. The scope of service is very general-legal, legal documentation and legal negotia....