2024 (10) TMI 1350 - HC - Service Tax

Challenge to Notification Nos. 14/2017-ST, 15/2017-ST and 16/2017-ST all dated 13 April 2017 issued by respondent no. 1 and Circular No. 206/4/2017-ST dated 13 April 2017 issued respondent no. 2 - liability to pay Service-tax under the Reverse Charge Mechanism on Ocean Freight paid by the petitioner on import of the goods - HELD THAT - The challenge to these very notifications and circular had come up for consideration before the Gujarat High Court in case of MESSRS SAL STEEL LTD. 1 OTHER (S) VERSUS UNION OF INDIA 2019 (9) TMI 1315 - GUJARAT HIGH COURT , and by a detailed judgment, in paragraph 58, the said notifications and the circular were quashed. In view of thereof, the impugned Notification Nos. 14/2017-ST, 15/2017-ST and 16/2017-ST all dated 13 April 2017 issued by respondent no. 1 and Circular No. 206/4/2017-ST dated 13 April 2017 issued respondent no. 2 are hereby quashed and set aside. Petition disposed off.

Summary

The petitioner challenged certain notifications and circular related to Service-tax on Ocean Freight. The High Court quashed the notifications and circular based on a previous judgment by the Gujarat High Court. The matter is pending before the Supreme Court. The High Court followed the Gujarat High Court decision in a similar case and ruled in favor of the petitioner. The impugned notifications and circular were quashed and set aside. The petition was disposed of, and the interim application was also disposed of.