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2014 (4) TMI 542 - AT - Service TaxDemand of service tax - Management Consultancy and Business Auxiliary Services - Held that:- The major component of the service tax demand in these appeals is under manpower supply service on the payments made by the appellant to their holding company in USA in respect of expatriate employees, who were originally the employee of the holding company based in USA and who have been deputed to the appellant company in India. It is not disputed that their salaries have been paid in India and income tax has also been deducted at source in India. Only the amount payable towards social security in respect of these employees has been paid by the holding company in USA and the same has been reimbursed by the appellant to the holding company in foreign exchange. Just because the social security contribution in respect of the expatriate employees was paid by the holding company, the expatriate employees cannot be treated as the employees of the holding company provided to the appellant company on manpower supply basis - Following decision of Volkswagen India Pvt. Ltd. (2013 (11) TMI 298 - CESTAT MUMBAI) & Paramount Communication Ltd. [2013 (3) TMI 134 - CESTAT NEW DELHI] - Decided in favor of assessee.
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