Tax Management India. Com TMI - Tax Management India. Com
Case Laws Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Manuals News SMS Articles Highlights
        Home        
← Previous Next →
  • Contents

 

User Login
Username  
Password  
Stay sign in     

Forget password        New User/ Regiser

 

2016 (9) TMI 491

Head Note:
Service tax liability - Whether the Trade Mark/ License Fee and the payment made in terms of the foreign collaboration agreement by the applicant to H&M GBC is liable to Service Tax in terms of the Finance Act, 1994 - Held that:- the applicant has entered into Trademark License Agreement with M/s H & M Hennes & Muritz GBC AB, Sweden to use the trademark rights and other intangible property rights and required to pay the License Fee. All intellectual property rights and other rights, including without limitation patents, design rights, trademarks, copyright and know-how, relating to the IP shall all times be the exclusive property of H&M GBC, Sweden. Accordingly, services received by the applicant fall under the declared services and would attract the levy of Service Tax under reverse charge mechanism.

Service tax liability - Whether the sales and Business Support Fee paid by the applicant to H&M GBC is liable to Service Tax in terms of the Finance Act, 1994 - Held that:- Sales and Business Support Agreement will be covered in the definition of “service’ under Section 65B (44) of the Finance Act, 1994. Section 68 (2) provides that in respect of such taxable service as may be notified by the Central Government in the Official Gazette, the service tax thereon shall be paid by such person and in such manner as may be prescribed. Therefore, in terms of above Section 68(2) read with Notification No.30/2012-St dated 20.06.2012, taxable services provided or agreed to be provided by any person who is located in a non-taxable territory and received by any person located in the taxable territory, service tax is payable by the person receiving the service. Therefore, the service is proposed to be provided by H&M GBC, Sweden. Further, as per the provisions of Section 66D, Services received by the applicant does not fall under the “negative list of services’ and would attract the levy of Service Tax under reverse charge mechanism. - Decided against the appellant

 


← Previous Next →

 

 

 

Discussion Forum
what is new what is new
 

Let's just recapitulate:

|| Home || About us || Feedback || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.