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2021 (6) TMI 906 - AT - Service TaxLevy of Service tax - Noticepay - amount received as consideration towards tolerating the act of breach of contract by the employee - declared service or not - HELD THAT:- The issue in hand is if Service Tax can be demanded on amount recovered by the employer from the employee for granting waiver of mandatory notice period prescribed in the agreement. The issue has been settled by the Hon’ble High Court of Madras in the case of GE T & D INDIA LIMITED (FORMERLY ALSTOM T & D INDIA LIMITED) VERSUS DEPUTY COMMISSIONER OF CENTRAL EXCISE [2020 (1) TMI 1096 - MADRAS HIGH COURT] where it was held that the employer cannot be said to have rendered any service per se much less a taxable service and has merely facilitated the exit of the employee upon imposition of a cost upon him for the sudden exit. Appeal dismissed - decided against Revenue.
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