2008 (10) TMI 142 - AT - Service Tax

Demand and penalty - Appellant had received Engineering Consultancy Services from Foreign Service provider - period from 16-9-2002 to 31-12-2004 by applying ratio of Larger Bench decision in the case of Hindustan Zinc Ltd., held that when the service was received by a person in India from foreign service provider having no office in India, the service tax liability can be fastened on the company service recipient in India only with effect from 1-1-2005 demand and penalty set aside

Summary

The Appellate Tribunal CESTAT, New Delhi, ruled in favor of the Appellant who received Engineering Consultancy Services from a Foreign Service provider without an office in India. Service tax and penalties imposed were set aside based on the decision in the case of Hindustan Zinc Ltd v. CCE. The appeal was allowed.