2025 (6) TMI 1732

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....ent trades, they are liable to pay the stock exchange within the stipulated period, however if the client defaults, the appellant pays the due amount to the Stock Exchange to avoid adverse repercussions. The client then owes the appellant the amount advanced along with interest @18%, which is known as 'Delayed Payment Charges'(DPC). The appellant is paying service tax on its brokerage/commission income which is not in dispute. The current dispute is limited to the applicability of service tax on the DPC i.e., interest on the delayed payment. 2. On the allegation that the delayed payment received by the appellant constitutes consideration for a declared service under Section 66 E(e) of the Finance Act, 1994, specifically agreeing to toler....

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....xcise and Service Tax, Central Tax Delhi South Commissionerate Vs. M/s Power Limited 2024 (11) TMI 58 - CESTAT dated 04-11-2024 vi. Hariyana Ship Demolition Pvt Ltd Vs. C.C.E & S.T. - Bhavnagar 2024 (11) TMI 404 - CESTAT dated 07.11.2024 vii. SPFL Securities Ltd 2019 (27) G.S.T.L. 95 dated 18.04.2019 viii. M/s IIFL Holding Ltd. V/s Commissioner of CGST & Central Excise, Mumbai Central (Vice-Versa) 2024 (2) TMI 967 - CESTAT dated 19.02.2024 5. The consistent view taken by the Tribunal is that the appellant had made payments to Stock Exchanges on behalf of their clients, who delayed the payments against their transactions of securities and the appellant charged the DPC from the said clients by making debit entrie....