9911796707
TMI Blog2024 (7) TMI 619X X X X Extracts X X X X X X X X Extracts X X X X ..... overseas entities. This being the fact on record and having guided by the precedent decision of Hon'ble Supreme Court rendered on the issue, as noted above including in the case of COMMISSIONER OF CGST AND CENTRAL EXCISE VERSUS M/S EDELWEISS FINANCIAL SERVICES LTD. [ 2023 (4) TMI 170 - SC ORDER] that corporate guarantees is not taxable to Service Tax without payment of consideration against such guarantee, the following order is passed. The order passed by the Principal Commissioner of GST CX, Mumbai East is hereby set aside - Appeal allowed. - HON BLE DR. SUVENDU KUMAR PATI, MEMBER (JUDICIAL) And HON BLE MR. ANIL G. SHAKKARWAR, MEMBER (TECHNICAL) Shri Ramnath Prabhu, Advocate for the Appellant Dr. Badhe Piyush Barasu, Dy. Commr., Au ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es which is outside the scope of Service Tax levy since place of provision of service would be outside India in terms of Rule-3 of the place of provision of Services Rules, 2012 and hence not chargeable to Service Tax under Section 66B of the Finance Act, 1994. He further submitted that otherwise also, the issue is squarely covered by decision of this Tribunal passed in several cases including those decided by this Tribunal in the case of DLF Cyber City Developers Ltd. as reported in 2019 (28) GSTL 478 (Tri.- Chan.), M/s. IIFL Holding Ltd. as reported in 2024 (2) TMI 967 CESTAT Mumbai, M/s. Pharmax Corporation Ltd. as reported in 2024 (3) TMI 1179 CESTAT NEW DELHI, Edelweiss Financial Services Ltd. as reported in 2023 5 Centax 57 (Tri.-Bom) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... STAT MUMBAI is cited on non-acceptance of such transfer pricing method of calculation. However on careful perusal of the said judgment it is observed that in Ultratech Cement Ltd., there was a demand made by the Income Tax Department for payment of Income Tax under transfer pricing against issue of corporate guarantees to overseas companies but that assessment order passed by the Income Tax Officer was set aside by the Commissioner of Income Tax (Appeals) with a direction for deletion of those additions from the income of the Appellant, holding that no guarantee fee was actually charged on the concerned loan and therefore, the demand raised by the Service Tax Authority was set aside. In the instant case there was no such calculation even ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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