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2003 (11) TMI 48 - MADRAS HIGH COURTAssessee is a hotelier - provides luxury in a hotel – luxury tax - It is a case where the assessee receives an amount which its customers must necessarily pay in order to enjoy the services provided by the hotelier. The amount of luxury tax need not be charged separately. If a customer were to inform the hotelier that he is not willing to pay the luxury tax which is paid by the hotelier, it is for the hotelier to decide whether or not to provide such a person with accommodation despite his refusal to pay the tax. It would be open to the hotelier to provide such a person with luxury in the hotel room and thereafter the assessee itself pay the tax to the Government – Thus, Tribunal is right in treating 'luxury tax' collected by the appellant as a trading receipt liable to be assessed as the income of the appellant's business
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