Levy of service tax on ATM interchange fees received by State ...

ATM Interchange Fees & Notional Consideration: No Double Taxation for Associate Banks.

Case Laws Service Tax

October 14, 2024

Levy of service tax on ATM interchange fees received by State Bank of Hyderabad from SBI for deploying its ATMs in the shared network, and on notional consideration for free ATM services provided to other associate banks and SBI. It holds that since SBI paid service tax as an agent for associate banks, service tax cannot be demanded again from associate banks. The demand for service tax on ATM interchange fees received from SBI is set aside. Regarding notional consideration for free ATM services, it states that no fee was charged as per the contractual understanding, and hence no service tax is leviable. The extended period of limitation u/s 73(1) of the Finance Act was correctly invoked as there was no willful suppression of facts with intent to evade tax. Consequently, the appeals filed by State Bank of India are allowed.

View Source

← Previous Next →

Levy of service tax on ATM interchange fees received by State ...

ATM Interchange Fees & Notional Consideration: No Double Taxation for Associate Banks.

Case Laws Service Tax

October 14, 2024

You may also like:

The Supreme Court held that the acquiring bank should pay service tax on the entire Merchant Discount Rate (MDR), which includes the interchange fee payable to the...

Transfer pricing adjustment on international transaction involving payment of guarantee fees to associated enterprise was held unjustified. Assessee demonstrated...

The assessee, a foreign company, earned network transportation fees from its Indian associated enterprise (AE), Damco India Private Limited (DIPL). The Assessing Officer...

The notification, issued by the Ministry of Finance, pertains to the modification of the Convention between the Government of India and the Kingdom of Spain for the...

Section 90 of the Income Tax Act allows relief from double taxation by granting foreign tax credits (FTCs) on foreign income taxed in both India and the other country....

Levy of service tax on services received from foreign bank - The Tribunal determined that the appellant was not receiving any direct services from the foreign banks that...

Income accrued in India - Capital gain - the new double taxation avoidance agreement has come into force much letter then the transaction took the place. In the new...

Double taxation agreement - Agreement with foreign countries or specified territories - Notified 'Specified Territory' - Notification

Section 90 of the Income-tax Act, 1961 - Double Taxation Agreement - Agreement for Avoidance of Double Taxation and Prevention of fiscal evasion with foreign countries -...

Double taxation of income - Single TDS certificate for two years - AT

Levy of Service tax alongwith interest and penalty - interchange fee - notices covered periods prior to 01.07.2012 and also thereafter - double taxation - Split...

Banking and other Financial services’(BOF) - Providing ATM facilities and other allied activities related to ATM services to various nationalized banks and to other...

Education/S&H cess - Goods cleared by 100% EOU into DTA - double taxation - there can be no objection for double taxation if the legislature has distinctly enacted it,...

TDS u/s 195 - Taxability of income in India - PE in India - taxation of offshore supplies - Taxation of Fee for Technical Services (FTS) in the absence of FTS article...

TDS u/s 195 - disallowance u/s 40(a)(i) - payment to a foreign entity as testing /certification fees outside India - the assessee bonafidely believed that such...

Quick Updates: