2008 (6) TMI 126 - AT - Service Tax

Mandap Keeper - impugned order levies tax and imposes penalty for renting out of auditorium for holding dance, drama and other cultural functions - prima facie, seen that the functions held are in the category of dance, drama etc. whereas holding official, social and business functions are pre-requisite for taxing temporary occupation of Mandap. As such, the requirement of pre-deposit is waived during pendency of the appeal.

Summary

The appellate tribunal in Kolkata found that the tax and penalty imposed on M/s. Academy of Fine Arts for renting out its auditorium for cultural functions was not valid. The tribunal ruled that the Academy cannot be treated as a Mandap Keeper, and the functions held were not of the type that required tax on temporary occupation of a Mandap. The requirement of pre-deposit was waived during the appeal process.