The Delhi Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has upheld the Service Tax amounting to Rs. 31800 on Legal Fee expense incurred by the appellant, Saisun Outsourcing Services during the period F.Y. 2016-17.
The bench of Binu Tamta (Judicial Member) and Hemambika R. Priya Member (Technical) has observed that the appellant has shown Legal fees expense of Rs. 2,12,000/-in 2016-17. No submission was made by the appellant nor have they contested the applicability of Service Tax on the said expense. In absence of any reply or any supporting documents, Legal fees expenses incurred by the appellant are expenses towards Legal services.
The appellant/assessee was registered under Service Tax for providing services under Manpower Recruitment/Supply agency Services. The Commissioner also confirmed the demand of Service Tax of Rs. 31,800 in respect of legal & consultancy services under RCM under proviso to sub-section (2) of Section 73 of the Finance Act, 1994 along with interest.
The appellant contended that service tax amounting to Rs. 31800 including Cess in respect of legal & Consultancy services under RCM should not be demanded and recovered from them under provisions of section 73 of the Finance Act, 1994.
The Tribunal while dismissing the appeal, upheld the Service Tax on Legal Fee expense incurred by the assessee.
Case Details
Case Title: Saisun Outsourcing Services Private Limited Versus Commissioner of Central Goods, Service Tax, Jabalpur
Case No.: Service Tax Appeal No. 54991 Of 2023
Date: 04.03.2025
Counsel For Appellant: None
Counsel For Respondent: Manoj Kumar
Read More: GST Dept. Issues Interest Recovery Notices For Delayed Outward Supply Declarations
