Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2021 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (9) TMI 985 - AT - Service TaxLevy of service tax - Man Power Recruitment & Supply Service - deputation of employees for the business contingencies arising in their own group companies - HELD THAT:- The appellants (formerly known as M/s.Light Alloy Products Ltd.) have deputed their employees for the business contingencies arising in their own group companies such as, M/s.LAP Ross Engineering Ltd; payments for which were made by debit notes or book adjustments. They have not raised any invoice as such and did not collect the service tax. Understandably, the relation between the appellants and the group companies to which their employees have been deputed is not one of an agency and the client. This issue was discussed at length by the Hon’ble High Court of Gujarat in the case of COMMISSIONER OF SERVICE TAX VERSUS ARVIND MILLS LTD. [2014 (4) TMI 132 - GUJARAT HIGH COURT] where it was held that The definition though provides that Manpower Recruitment Supply Agency means any commercial concern engaged in providing any services directly or indirectly in any manner for recruitment or supply of manpower temporarily or otherwise to a client, in the present case, the respondent cannot be said to be a commercial concern engaged in providing such specified services to a client. It is true that the definition is wide and would include any such activity where it is carried out either directly or indirectly supplying recruitment or manpower temporarily or otherwise. Appeal allowed - decided in favor of appellant.
|