TMI Blog2011 (4) TMI 240X X X X Extracts X X X X X X X X Extracts X X X X ..... t, the Hon'ble High Court s decision makes it clear that reverse charge mechanism operating under Rule 2(1) (d) (iv) of the Service Tax Rules, 1994, is effective only from 18.04.2006. Therefore the demand of service tax for the period prior to 18.4.2006 under reverse charge or tax shift mechanism is not applicable. - ST/605 of 2010 - - - Dated:- 15-4-2011 - Dr. P. Babu, J. For Appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) of the Finance Act, 1994 so as to levy the service tax on import of services. On adjudication, the original adjudicating authority dropped the demand mainly on the ground that service charges pertain to the year 2004-05. Commissioner (Appeal) has upheld this order. However, the Revenue is of the opinion that the order in appeal is not legal and proper and hence filed this appeal. The main conten ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 66A was inserted by Finance Act, 2006 w.e.f. 18-4-2006, the Respondents got legal authority to levy service tax on the recipients of the taxable service. Now, because of the enactment of Section 66A, a person who is resident in India or business in India becomes liable to be levied service tax when he receives service outside India from a person who is non-resident or is from outside India. Befor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oubt, the Hon'ble High Court s decision makes it clear that reverse charge mechanism operating under Rule 2(1) (d) (iv) of the Service Tax Rules, 1994, is effective only from 18.04.2006. Therefore the demand of service tax for the period prior to 18.4.2006 under reverse charge or tax shift mechanism is not applicable. 4. In view of the above, I do not find any sustainable point in the appeal f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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