2008 (5) TMI 119 - AT - Service Tax

Appellant case is that it placed the services of some of the employees at the disposal of its sister concern on deputation basis appellant s submission is that salary etc. paid to them cannot be subjected to service tax - in order to attract the management consultancy service the person concerned must render any advice, consultancy or technical assistance - prima facie case is in favour of the appellant and accordingly grant full waiver of the pre-deposit is granted

Summary

The appellate tribunal in CESTAT New Delhi ruled in favor of the appellant in a service tax dispute related to services provided to its sister concern. The appellant placed employees on deputation basis, arguing that their salaries are not subject to service tax. The tribunal granted full waiver of pre-deposit in favor of the appellant based on the arguments presented. (2008 (5) TMI 119 - CESTAT NEW DELHI)