2008 (10) TMI 14 - AT - Service Tax

Whether service tax was leviable on the technical know-how fee paid by the appellant to foreign collaborator during the period 2002-2003 to 2003-2004, under the head Consulting Engineer s service - in view of Tribunal s Larger Bench decision in the case of Hindustan Zinc Ltd., held that that any taxable service provided by non-resident or from outside India, who does not have office in India, is not exigible to service tax in the hands of the service-recipient in India prior to 1.1.2005

Summary

The appellate tribunal in Ahmedabad ruled that service tax was not leviable on technical know-how fee paid to a foreign collaborator during 2002-2004 under "Consulting Engineer's service". The decision was based on a previous ruling against the Revenue by the Tribunal's Larger Bench in a similar case. The impugned order was set aside, and the appeal was allowed.