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CESTAT, Hyderabad, has upheld relief granted to the Northern Power Distribution Company of Telangana (NPDCL), holding that delayed payment surcharges and meter-testing charges collected from consumers are not liable to service tax.
The CESTAT, Bangalore in the case of Chariot World Tours Ltd. held that outbound international tour packages provided by an Indian tour operator to Indian tourists during the period April 2010 to March 2012 were liable to service tax under the category of “Tour Operator Service”.
The assessee, a sugar mill, availed Cenvat credit on capital goods and inputs used for erection of a 24 MW power plant, part of whose electricity was captively consumed in manufacture of dutiable sugar and molasses, and surplus supplied to the State Electricity Board. Department denied credit relying on CBEC
The Hon’ble Madras High Court in the case of M/s Light Roofing Limited held that purchase tax under Section 7A of the Tamil Nadu General Sales Tax Act, 1959, does not arise on the purchaser merely because the vendor did not pay the tax, when the transaction is otherwise one in which tax is actually payable by the vendor under the Act.
The Hon’ble Supreme Court in the case of Airports Authority of India held that export cargo handling services provided by the Airports Authority of India are taxable under Section 65(105)(zzm) read with Section 66 of the Finance Act, 1994, regardless of the exclusion available under Section 65(23).
The Hon’ble Supreme Court in Altaf husen Mayuddin Khatri held that financial hardship cannot be a ground to waive or reduce the statutory pre-deposit requirement under Sections 35B and 35F of the Central Excise Act, 1944.
The Hon’ble Supreme Court in the case of Commissioner Of Service Tax-III, Mumbai held that the services provided by the Respondents [Assessees (Taxpayers)] were rightly held to be exported outside India and hence not liable to service tax under the Export of Service Rules, 2005, as the twin conditions of recipient location outside India and receipt of payment in convertible foreign exchange were satisfied.
The CESTAT, New Delhi in the case of M/s Vipul Motors Pvt. Ltd. v. Principal Commissioner of CGST& Central Excise, Jaipur-I[Final Order No. 50957–50958/2025, dated July 02, 2025] held that incentives/ discounts received by car dealers from manufacturers are not taxable under Business Auxiliary Service, being transactions on a principal-to-principal basis.
The CESTAT, New Delhi in the case of M/s Shri Vardhman Milk Dairy Pvt. Ltd. held that the activity of chilling, pasteurisation, standardisation and pouch packing of milk amounts to ‘manufacture’ under Chapter Note 6 of Chapter 4 of the Central Excise Tariff Act, 1985, and therefore cannot be taxed as Business Auxiliary Service under Section 65(19) of the Finance Act, 1994.
The CESTAT, Ahmedabad in the case of Kohler India Corporation Pvt. Ltd. remands matter where Commissioner erroneously applied Safari Retreats ratio under the CGST Act, without examining pari materia status of provisions under the Service tax provisions.