CESTAT held that service tax demands against the appellant were ...

Mutuality Doctrine Shields Club from Service Tax; Pure Agent Status and Threshold Exemption Also Apply

March 13, 2025

Case Laws Service Tax AT

CESTAT held that service tax demands against the appellant were unsustainable on multiple grounds. The doctrine of mutuality applies to club/association services, eliminating service provider-recipient relationship between an association and its members, following precedent in Ranchi Club Ltd. and Supreme Court's decision in State of West Bengal v. Calcutta Club Limited. The Business Auxiliary Services demand failed as authorities neither controverted appellant's "pure agent" claim nor specified which limb of the BAS definition applied. Regarding renting of immovable property, the taxable value (Rs.1,45,875/- for 2013-2014) fell below the threshold limit specified in Notification No.33/2012. Appeal allowed in toto.

View Source

← Previous Next →

CESTAT held that service tax demands against the appellant were ...

Mutuality Doctrine Shields Club from Service Tax; Pure Agent Status and Threshold Exemption Also Apply

March 13, 2025

Case Laws Service Tax AT

You may also like:

Service Tax valuation - reimbursement of expenses - Pure Agent - CHA services - AT

Classification of service - Pure agent or service provider - The applicant does not satisfy any one of the conditions mentioned in the Rule 33 of CGST Rules, 2017 which...

Doctrine of mutuality - Club or association service - since there is a doctrine of mutuality between the appellant’s corporative society and its members, it cannot be...

The appellant paid service tax under protest and filed a refund claim, which was not barred by limitation. The Supreme Court in West Bengal vs Calcutta Club Limited held...

Club or Association Service - Admission Fee, Membership Fee, Establishment Expenses, collected by the appellant from its members - amount retained for earning ‘carbon...

Appellant liable to pay service tax on 'Cleaning activity' services provided to Indian Railways and public sector undertakings as per Madras HC's decision in Premier...

Doctrine of mutuality - Exemption from taxability - The doctrine of mutuality bestows a special status to qualify for exemption from tax liability. It is a settled...

Demand of differential service tax - Valuation - non-inclusion on reimbursable expenses - pure agent services - The Appellate Tribunal analyzed the agreements and legal...

Classification of services - pure agent services or not - supervisory charges - The applicant indubitably is pure agent of the recipient FCI. The applicant is involved...

Demand of service tax from Cooperative Society - principle of mutuality - Consultancy service - no demand - HC

Liability to pay service tax for services provided to a foreign entity. The appellant argued that their turnover within the domestic market was below the threshold...

Club and association services - Doctrine of mutuality applies - Not liable to sales tax - from 2005 onwards there is levy service tax on members’ clubs in the...

Co-operative housing society providing residential flats to members does not constitute taxable service under "construction of residential complex" due to doctrine of...

The CESTAT held that the appellant did not collect any amount representing service tax from sub-agents/customers. The amount recovered was the service tax already paid...

Levy of service tax - pure agent services or not - implementation of the Information Technology related projects - The appellant was appointed merely as a Nodal Agency...

Quick Updates: