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2016 (12) TMI 99 - CESTAT MUMBAITaxability - club and association service - at the time of issue of notice and at time of receipt of payment for the services, the relevant service was not a taxable service. The liability to pay has been created on or after 16.06.2005 - whether the demand on the ground that one-time fee collected by the club from their lifetime, permanent and corporate members were for the service to be provided in the future and the value of the same is taxable in terms of Section 67 of that of the Finance Act, is justified? - Held that: - It is seen that the show cause notice has been issued for service tax liability on the one-time fee recovered from the members prior to 16.06.2005 under the category of club and association service which became taxable w.e.f. 16.06.2005. The issue of liability of service tax on the club and association service is no longer res integra. It has been held in numerous authoritative judicial pronouncements that an association or club is not providing services to its own members and hence no service tax is imposable. In this regard, reliance is placed on the High Court Judgment in the case of Ranchi Club Vs. Chief Commissioner of Central Excise & Service Tax, Ranchi [2012 (6) TMI 636 - Jharkhand High Court]. Since the liability of service tax on club and association service has itself been quashed, there is no question of levying the same for the period before 16.06.2005 - appeal rejected - decided against appellant-Revenue.
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