Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2023 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (8) TMI 253 - CESTAT CHENNAINature of activity - Rendering of service or not - banking and other financial services or not - HELD THAT:- The case of the appellant appears to be that Service Tax is payable on ‘bill discounting’ under banking and other financial services (BFS) only when the service is rendered by a banking company or financial institution including a non-banking financial company. They would thus contend that they are only a body corporate and not liable to pay Service Tax as they cannot be classified under the category of banking company or financial institutions. From the reply to the Show Cause Notice and the contentions, it is found that the appellant has not denied the fact of giving bill discounting facility to some of its customers, but had denied liability only on the ground that they are not a banking company or a financial institution. From the definition of BFS, it is found that sub-clause (ix) covers even ‘bill discounting facility’ and as such, the appellant being a limited company, is also covered under the said definition - the definition makes it clear that such bill discounting facility could be offered not only by a banking company or a financial institution, but also a body corporate. There are no justifiable reasons to interfere with the impugned order and hence, the appeal is dismissed.
|