Saturday, April 3, 2010

Latest Amendments and Recent News Views & Stories Brought to you by www.servicetaxonline.com

Alert No 20100403A :  Saturday, April 03, 2010

Latest Amendments and Recent News Views & Stories

Brought to you by www.servicetaxonline.com

News Views & Stories:

Post-budget reality bites the real estate sector
Union government enlarges the ambit of Service Tax-It is so much easier to suggest a solution when you are not sure about the gravity of the problem. This is exactly what happened a year back when the ministry intervened to clarify issues pertaining to applicability of Service tax on construction services...........More

Recent Important Judgements:

STO 2010 CESTAT 11
Penalty: Section 80: It is a very small concern and appellant willingly paid Service Tax and interest the moment it was pointed out to him. Even though it can be said that ignorance of law cannot be an excuse, but it can be only one of the factors while considering imposition of penalty. It is fit case for invoking Section 80, penalties are set aside and appeal allowed.

STO 2010 CESTAT 10
Transport of Gas: Transport of Goods through pipeline or other conduit service: Stay: Activity made liable to Service Tax from particular date such activity not taxable under re-existing service category when definition of earlier categories not changed. Moreover, the service rendered by the applicants of the transportation of natural gas through pipeline, cannot be termed as Clearing and Forwarding Agent. Stay granted.


STO 2010 CESTAT 8
Consulting Engineer Service: Stay: The issue involved is, whether the activity of mere supply of drawing and designs is covered under the category of "Consulting Engineer". In view of Kirloskar Electric Co. Ltd STO 2006 CESTAT 520 prima facie it is a strong case. Stay granted.


STO 2010 CESTAT 5
Penalty: Section 80: Merely because the appellant is before the BIFR, no case has been made out for setting aside the demand of Service Tax and interest. However it is appropriate to give full benefit under the provision of Section 80. Thus appeal is allowed to the extent of setting aside the penalty.

Latest Amendments:

Notification no: 22/2010-S.T. Dated: 30/03/2010 - Amends Notification No. 09/2010-Service Tax, dated 27th February, 2010
Notification no: 21/2010-S.T. Dated: 30/03/2010 - Amends Notification No. 08/2010-Service Tax, dated 27th February, 2010
Notification no: 20/2010-S.T. Dated: 30/03/2010 - Amends Notification No. 07/2010-Service Tax, dated 27th February, 2010
Notification no:19/2010-S.T. Dated:23/03/2010 - Amends Notification No. 19/2007 dt 12.5.2007 with regard to amendment in the composition of commitee of Commissioners consequent upon creation of Commissioners of Service tax Mumbai I for review of orders of Comm (Appeals).

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Regards,

Team STO


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