Elite Clubs and Associations under Service Tax Scanner

the Appellate Tribunal was right in holding that the second reassessment proceedings were not validly initiated and thereby quashing the reassessment proceedings-the proceedings initiated by the AO for the second time under Section 147 is barred by limitation-even the proviso to Section 147 does not come into play on the facts of the case-AIT-2010-373-HC Even if the goods belong to same entry, manufacture does take place if new identifiable/marketable goods known in market emerge due to operation conducted-the process of ironing applied to the stiched brassieres prior to their packing was a process incidental to the completion of the brassieres as a manufactured product-process of purification and filtration being incidental or ancillary to the manufacture of a marketable product, the Respondent was entitled to Modvat credit on the inputs involved-AIT-2010-370-HC Larger Bench of CESTAT rules the Tribunal has ample power to condone the delay in filing the appeal including the one filed under section 35 E (4)-AIT-2010-372-CESTAT Corruption in IRS takes its toll-Deputy Commissioner of Income Tax Dhananjay Kumar arrested by CBI in Mumbai-Joint Commissioner of Customs & Excise Hemant Kothikar also arrested by CBI FM directs expediting of Cadre Restructuring in CBDT & CBEC Tariff Value for import of Brass Scrap is 3924-Customs Non-Tariff Notification No. 78 Chief Justice of Gauhati High Court Justice Ranjan Gogoi to be Chief Justice of Punjab & Haryana High Court Anti-dumping duty on imports of Acrylic Fibre originating in, or exported from Japan and Belarus-Customs Tariff Notification No.85 Prescribing SION for new product “Propylene” under Chemical & Allied Products Group-DGFT PN 7 Inclusion of Finished Leather in the Focus Product Scheme of FTP-DGFT PN 6 Exchange Rate for imported goods is Rs 47.25 per US Dollar and Rs 60.35 per EURO-Exchange Rate for export goods is Rs 46.30 per US Dollar and Rs 58.70 per EURO-Customs Non-Tariff Notification No. 77-Click on Exchange Rate for details Anti Dumping Duty under the Notification No.15/2007 is not applicable to Spandex Yarn (Elastomeric yarn)-Customs Circular No.30 Import of goods under Notification No.13/2010 for Commonwealth Games, 2010-Customs Circular No.31 Larger Bench of CESTAT rules charges towards pre-delivery inspection and after-sale-service by dealers from buyers of the cars to be included in the assessable value of cars for payment of excise duty-AIT-2010-366-CESTAT merely because there was non accounting of goods, penalty was technical and inference of clandestine removal was not called for-AIT-2010-365-HC ITAT rules provision for doubtful debts and provision for standard debts are to be taken into consideration for computation of book profit u/s. 115JB of the IT Act-AIT-2010-361-ITAT HC rules slitting of aluminum foils into customized width, mounting the same on the printing machine and thereafter printing the necessary text thereon is covered for 80IB benefit as it falls within the ambit of the term “produce”-AIT-2010-363-HC Definitive Anti-dumping duty imposed on imports of Coumarin, originating in, or exported from China-Customs Tariff Notification No. 82 Special Bench of ITAT Ruling-where a forward contract is entered into by the assessee to sell the foreign currency at an agreed price at a future date falling beyond the last date of accounting period, the loss is incurred to the assessee on account of evaluation of the contract on the last date of the accounting period i.e. before the date of maturity of the forward contract-AIT-2010-355-ITAT-SB

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Elite Clubs and Associations under Service Tax Scanner

AIT News Network

NEW DELHI. Delhi Gymkhana Club has been booked by service tax department for evading Service Tax amounting to Rs. 2.92 Crores in respect of taxable services of Membership of Club and Association.

Membership of Club or Association Service was brought into service tax net with effect from 16.06.2005. However Gymkhana club did not pay any service tax on the services provided by them to their members.

The Gymkhana club has also deposited Rs. 1.93 Crores towards service tax under protest and has not filed any service tax return till date.

The Commissionerate of Service Tax, Delhi has already issued a Show Cause Notice to Delhi Gymkhana Club for non payment of Service tax amounting to Rs. 2.92 Crores.

The Clubs and Associations are also under Service Tax scanner and the service tax demands against them are being issued according to service tax department.

Under the clauses of the Finance Act 1994 as amended;

(25a) “club or association” means any person or body of persons providing services, facilities or advantages, for a subscription or any other amount, to its members, but does not include —

(i) any body established or constituted by or under any law for the time being in force; or

(ii) any person or body of persons engaged in the activities of trade unions, promotion of agriculture, horticulture or animal husbandry; or

(iii) any person or body of persons engaged in any activity having objectives which are in the nature of public service and are of a charitable, religious or political nature; or

(iv) any person or body of persons associated with press or media;

“taxable service” means any service provided or to be provided,-

(zzze) to its members, by any club or association in relation to provision of services, facilities or advantages for a subscription or any other amount

· No Service Tax on Not for profit organizations: CESTAT

· British Airways booked for evading Service Tax of Rs 100 Crore

· Big 4 Consulting Company booked for allegedly evading service tax

· Ernst & Young booked for allegedly evading Service Tax of Rs 7.29 Crore

· KPMG booked for allegedly evading Service Tax of Crores

· Gap International booked for evading service tax of Rs 8 Crore

· Lufthansa Airlines booked for evading service tax of Rs 5.42 Crore

· Builders and Contractors on Hit List of Service Tax

· How DRI caught Amitabh and Abhishek Bachchans for alleged smuggling