9911796707
| TMI General Search |
|
Advanced Search Options
Showing 101 to 120 of 204 Records Search Text: restaurant service abatement notification |
| Search Results |
| Articles (35) Case-Laws (115) Circulars (22) Forum (10) Forms (1) Highlights (2) Manuals (4) News (12) Notifications (3) |
|
TAX ABATEMENT IN SERVICE TAX - Part – I The article discusses the concept of tax abatement in service tax, explaining that abatement involves a reduction or moderation of taxes. It emphasizes the necessity for assessees to comply with specific conditions to avail abatement benefits, differentiating abatements from exemptions. Judicial pronouncements highlight that exemption notifications must be strictly interpreted, and any ambiguity should favor the state. The article details Notification No. 26/2012-ST, listing services eligible for abatement and associated conditions, such as restrictions on claiming CENVAT credit. It also outlines abatements available before July 1, 2012, under a prior notification, noting conditions where abatements were not permitted.
Service Portion in Supply of Foods & Drinks The article discusses the service tax implications on the supply of food and drinks, emphasizing the distinction between goods and services in such transactions under Indian law. According to Article 366(29A) of the Indian Constitution, the supply of food and drinks is deemed a sale, not a service, to the extent of the goods' value. The remaining portion is considered a service. Restaurants with air-conditioning or liquor licenses are subject to service tax, while others are exempt. The value of the service portion is determined by specific rules, and certain exemptions and abatements apply, including for educational institutions and non-air-conditioned restaurants.
2012 (6) TMI 792 - GAUHATI HIGH COURT The court dismissed the petition seeking to quash specific sections of the Finance Act and a show cause notice. It upheld the legislative competence of Parliament to levy service tax on erection, commissioning, and installation services, ruling that the provisions in question did not encroach on State legislation. The court deferred detailed consideration to the adjudicating authority and granted the petitioner the option to pursue legal remedies if dissatisfied.
2010 (12) TMI 266 - CESTAT, DELHI The Tribunal allowed the appeal, setting aside the lower authorities' orders and remanding the case for fresh consideration. It emphasized the need for a detailed analysis to determine whether the supply of electric fans was retail or wholesale, instructing the Adjudicating Authority to apply relevant legal provisions and consider all cited decisions. The Tribunal highlighted the importance of assessing the nature of supply in accordance with the Standards of Weights and Measures Act and relevant case law.
Issues pertaining to Service Tax - regarding the Finance Bill,2004 The Finance Bill 2004 introduced new services under the service tax levy, including business exhibition, airport, and intellectual property services, among others. The service tax rate was set at 10%, with an additional 2% education cess. The circular clarified the scope of these services and outlined abatement and exemption details for specific services like outdoor catering and pandal services. It also expanded existing taxable services such as business auxiliary services and financial services. The circular emphasized avoiding double taxation and provided guidelines for implementing these changes smoothly, ensuring compliance and understanding among service providers.
Issues pertaining to Service Tax – regarding the Finance Bill, 2004 The Finance Bill, 2004, introduced new services under the service tax levy, including business exhibition, airport services, and intellectual property services, among others. It expanded existing taxable services to include additional activities and entities, such as sub-brokers and multi-system operators. The service tax rate was set at 10%, with an education cess of 2%. Specific exemptions and abatements were detailed for services like outdoor catering and construction. The circular also clarified the scope of various services and the applicability of service tax, aiming to ensure smooth implementation and avoid double taxation.
Service Tax — Budget changes for 2004-05 effective from 10th Sept., 2004 The Finance (No. 2) Bill, 2004, effective from September 10, 2004, introduced several changes to the service tax regime. New services under the tax include business exhibition, airport, and construction services, among others. Existing services like financial and business auxiliary services saw expanded definitions. The service tax rate is set at 10%, with an additional 2% education cess. Certain exemptions and abatements are provided for services like outdoor catering and pandal/shamiana services. The circular also clarifies tax applicability on services like intellectual property, opinion polls, and construction, while detailing procedural aspects for compliance and credit utilization.
Service Tax on services rendered by Mandap Keepers and Air Travel Agents The circular outlines the imposition of service tax on services provided by Mandap Keepers and Air Travel Agents effective from July 1, 1997. Mandap Keepers are liable for service tax on the gross amount charged for renting out immovable properties for events, including related services like catering. An abatement of 40% is allowed when catering services are provided. Air Travel Agents are taxed on the commission received from airlines, with an option to pay a fixed percentage of the basic fare instead. Registration, payment, and filing procedures are detailed, with provisions for provisional assessment and an appellate mechanism.
2024 (10) TMI 626 - CESTAT ALLAHABAD The tribunal dismissed the revenue's appeal, finding no merit in the allegations of service tax evasion. It set aside the impugned order, granting consequential relief to appellant no. 2. The tribunal upheld the Commissioner (Appeals)'s findings, noting deficiencies in the SCN, lack of corroborative evidence, and improper penalty imposition.
2022 (3) TMI 329 - CESTAT AHMEDABAD The Tribunal ruled that the appellant's sale of packed food as take-away does not constitute a service liable for service tax. The activity was deemed as purely a sale of food, not involving any service portion. Citing precedents, including a Madras High Court decision, it was established that service tax applies only to services provided in air-conditioned restaurants with additional amenities, not to the sale of take-away food. Consequently, the Tribunal set aside the demand for service tax, interest, and penalties, allowing the appeal with consequential relief.
ISSUES IN TAXATION OF JOINT DEVELOPMENT AGREEMENT (JDA) TRANSACTIONS-UNDER GST & INCOME TAX The article examines the taxation challenges associated with Joint Development Agreements (JDAs) under GST and Income Tax laws. JDAs, involving landowners and developers, face scrutiny from tax authorities due to disputes over taxability. Key GST issues include whether Transfer of Development Rights (TDR) are taxable, the applicability of GST to JDAs before 2018, and valuation methods for land and construction services. The article argues that current GST provisions may indirectly tax land, which is exempt. Under Income Tax, section 45(5A) raises questions about capital gains timing and applicability, particularly for individual and HUF assessees. The author suggests careful legal interpretation and planning to navigate these complex issues.
2019 (6) TMI 1596 - CESTAT MUMBAI The tribunal set aside the order confirming a demand of Service Tax, recovery of interest, and penalties imposed under various sections of the Finance Act, 1994. It was found that the appellants were entitled to abatement under Notification No. 1/2006-ST as they had not availed CENVAT Credit on the input services for the taxable services provided. The tribunal concluded that the appellants were not liable for the Service Tax demand, interest recovery, and penalties, allowing the appeal and pronouncing the order in open court.
2018 (1) TMI 216 - CESTAT NEW DELHI The appeal was dismissed except for setting aside the demand under Rule 6 (3) of Cenvat Credit Rules, 2004, and the associated penalties. The Tribunal upheld the classification and service tax demand as confirmed by the Original Authority, except for the disputed amount under Rule 6 (3). The penalties related to this non-sustainable demand were also set aside.
Diwali Bonus “Swachh Bharat Cess” The Finance Act, 2015 introduced the Swachh Bharat Cess (SBC) to fund cleanliness initiatives, effective from November 15, 2015. Initially set at 2% on taxable services, it was revised to 0.5% with a 1.5% exemption. SBC applies to all taxable services, excluding those exempt under specific notifications or not subject to service tax under section 66B. CENVAT credit is not available for SBC. The Point of Taxation Rules, 2011, govern its collection. SBC affects various services, including transport, hospitality, and construction, with specific rates. Notifications for accounting codes and foreign currency exchange are anticipated.
Canteen Service - Service Tax Exempted From 22-10-13 A discussion on a forum addresses the exemption of service tax for canteen services in factories, as per a government notification dated October 22, 2013. The notification exempts services related to serving food in factory canteens with air-conditioning or central heating under the Factories Act, 1948. Participants debate whether the exemption applies to canteens operated by external service providers or only those run by the factory itself. The consensus is that the exemption applies regardless of ownership, provided the canteen is mandated by the Factories Act. However, doubts persist about the applicability to canteens without air-conditioning or central heating.
Changes in Indirect Taxes -Union Budget 2013 The Union Budget 2013 introduced several changes in indirect taxes, including service tax, customs, and excise duties. Key service tax changes include modifications to the negative list, penalty limits, and the introduction of a voluntary compliance scheme. The budget also revised exemptions in the mega exemption list and adjusted abatements. Customs changes featured duty rate adjustments for various products, including hazelnuts, coal, and vehicles, and extended exemptions for hybrid vehicle parts. Excise duty changes included increased rates for marble, mobile phones, SUVs, and tobacco products, with certain exemptions for handmade goods and specific manufacturing processes.
Valuation – MRP Based Value – Section 4A Under Section 4A of the Central Excise Act, excise duty for specified commodities is calculated based on the Maximum Retail Price (MRP), minus any government-specified abatements. The Central Government issues notifications specifying which goods fall under this provision. The MRP-based valuation applies only to pre-packaged goods intended for retail sale, excluding wholesale items, industrial raw materials, and certain other exceptions. If multiple MRPs are declared, the highest is used for duty calculation. Goods must comply with the Standard Weights and Measures Act, and the MRP must be declared on packages unless the manufacturer voluntarily affixes it, in which case Section 4 applies.
2003 (10) TMI 140 - CESTAT, BANGALORE The Tribunal, by majority, determined that telephone instruments supplied to DOT/MTNL should be assessed under Section 4A of the Central Excise Act, 1944, based on MRP, rather than Section 4. The case was remitted to the original authority to verify the permissible abatement from MRP. Penalties under Section 11AC and Rules 173Q and 210 were not imposed, as the issue was deemed a matter of legal interpretation. Member (J) dissented, suggesting referral to a Larger Bench, but the appeals were allowed under Section 4A.
Imposition of service tax on services rendered by Mandap keeper and by an Air Travel Agents reg. The circular announces the imposition of service tax on services provided by Mandap keepers and Air Travel Agents effective from July 1, 1997, as per the Finance Act, 1997. Mandap keepers, defined broadly to include venues like marriage halls and hotels, are responsible for collecting tax on all charges, including rentals and additional services. An abatement of 40% is allowed for catering services. Air Travel Agents must collect tax based on commissions from airlines, with an option to pay a percentage of the basic fare instead. Registration, tax payment, and penalties for non-compliance are outlined, emphasizing timely tax collection and submission of returns.
Imposition of service tax on services rendered by Mandap keeper and by an Air Travel Agents reg. The circular discusses the imposition of service tax on services provided by Mandap keepers and Air Travel Agents, effective from July 1, 1997, as per the Finance Act, 1997. Mandap keepers are responsible for collecting service tax on the total amount charged, including rental, electricity, and catering services. Air Travel Agents must collect service tax based on commissions from airlines, with an alternative option to pay a percentage of the basic fare. The registration, payment, and penalties related to service tax compliance, emphasizing timely submission of returns and payment to avoid penalties.
|
