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2020 (3) TMI 844 - CESTAT ALLAHABADLevy of Service Tax - amount which employer recovers out of the salary paid to the employee if the employee breaches the contract of total term of employment - HELD THAT:- The term of contract between the appellant and his employee are that employee shall be paid salary and the term of employment is a fixed term and if the employee leaves the job before the term is over then certain amount already paid as salary is recovered by the appellant from his employee. This part of the recovery is treated by Revenue as consideration for charging service tax. The said recovery is out of the salary already paid and we also note that salary is not covered by the provisions of service tax - Appeal allowed - decided in favor of appellant.
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