Home Case Index All Cases Service Tax Service Tax + HC Service Tax - 2011 (12) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (12) TMI 201 - HC - Service TaxConstitutional validity of levy of service tax on import of services - Does the Parliament have the powers to legislate "for" any territory, other than the territory of India or any part of it? - Section 66A of Chapter-V of Finance Act, 1994 and Taxation of Services (Provided from Outside India and Received in India) Rules, 2006 – Instructions F. No.275/7/2010-CX.8A dated 30.6.2010 as ultra vires to the Finance Act, 1994 – 100% EOU - Held that:- Section 66A - Charge of Service Tax on Services received from outside India - as inserted by Finance Act, 2006 vide notification dated 18.4.2006 w.e.f. 1.5.2006 and Taxation of Services (Provided from Outside India) Rules, 2006 made in exercise of powers conferred by Sections 93 and 94 read with Section 66A of the Finance Act, 1994 notified on 19.4.2006 and amended by notification dated 27.2.2010, does not suffer from vice of unconstitutionality, either on the ground of lack of legislative competence, or on the ground of extra territorial operation of laws. So far as the levy of the Service Tax on the services alleged to be received by the petitioner from Software Services LC (SSLC) having its office in USA under the 'Master Services Agreement', and for which the letter dated 18.6.2010 has been sent to the petitioner on the basis of an audit report of the audit inspection, since there has been no adjudication under the Act, we direct that the competent authority under the Finance Act, 1994 to decide the matter in accordance with the law laid down.
|