Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2018 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (2) TMI 77 - AT - Service TaxPenalties - Business Auxiliary Services - services as a Commission Agent - department was of view that the commission paid to foreign agent is liable to levy of service tax under reverse charge mechanism - Held that: - issue whether assesse is liable to pay service tax under reverse charge mechanism on the commission paid to foreign agents was under much dispute during the relevant period. Section 66A was introduced with effect from 18.04.2006 and the Hon'ble Bombay High Court in the case of Union of India Vs. Indian National Ship Owners Association [2010 (12) TMI 12 - Supreme Court of India] observed that assesse is not liable to pay service tax prior to introduction of Section 66A. During the relevant period there was much confusion as to the levy of service tax on commission paid to foreign agent. Being an interpretational issue, the penalties imposed, except that of Section 77 are unwarranted, and requires to be set aside - appeal allowed in part.
|