2010 (7) TMI 224 - AT - Service Tax

Authorized Service Station - The issue in dispute in the present appeals is whether service tax is leviable on free after-sales service which the department considers is in-built in the dealer s margin. Tribunal in assessee s own case held that said service was not taxable. Held that - impugned order of Commissioner (Appeals) setting aside impugned demand was to be upheld.

Summary

The Appellate Tribunal CESTAT, Chennai ruled that service tax is not leviable on 'free after-sales service' included in the dealer's margin. The decision was based on precedent cases and upheld the orders rejecting the appeals.