Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2024 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2024 (1) TMI 248 - AT - Service TaxLevy of service tax - banking and other financial services - Demat/ Depository charges collected from sub brokers - stock broker service - Transaction/ administrative charges collected from sub-brokers - VSAP/TWS charges collected from sub broker - HELD THAT:- All the charges on which service tax was demanded by the Revenue are statutory charges which are though collected from the sub- brokers but the same was deposited to the stock exchange i.e. Vadodara Stock Exchange Clearing House, Bombay Stock Exchange & National Stock Exchange , therefore, these charges were not collected as service charge of the appellant but only as reimbursement which was paid to the stock exchange. Therefore, these charges cannot be considered as the service charge of any services provided by the appellant to their sub-broker. These issues have been consistently decided in various judgments cited by the appellant. In the case of Edelweiss Financial Advisor Ltd. [2023 (9) TMI 522 - CESTAT AHMEDABAD] it has set aside the demand of service tax on computer to computer linkage service. In the case of Saurin Investments Pvt Ltd [2023 (1) TMI 454 - CESTAT AHMEDABAD] this Tribunal has held that NSDL/CDSL charges collected by the stock broking firm cannot be liable for service tax. Thus, it is settled that all the charges which are involved in the present case have been held as not the service charges of the broking firm and hence not liable to service tax and this consistent view has been taken in the other judgments cited by the appellant. Therefore, in the present case also all the charges which were collected on behalf of the stock exchange are not liable to Service Tax. The impugned orders confirming the demand of service tax are set aside - Appeal allowed.
|