Agreement amongst parties won’t transfer ST liability from service provider to service recipient

Section 65(zzzm), read with sections 73 and 78, of the Finance Act, 1994 - Sale of Space or Time for Advertisement (Tax liability) - Assessee, engaged in providing taxable 'sale of space or time for advertisement' service, entered into agreement with service recipient advertisers that service tax liability would be borne by recipient of service, i.e., advertisers - Whether substantive and legislatively mandated liability to service tax would not be transferred from appellant who is service provider to advertisers, who are service recipients - Held, yes [Para 9] [In favour of revenue]

Refer:[2014] 46 taxmann.com 217 (New Delhi - CESTAT)

CESTAT, NEW DELHI BENCH

Delhi Transport Corporation

v.

Commissioner of Service-Tax, New Delhi