Important Judgement by Delhi High Court – No Service tax on reimbursement of expenses

Important Judgement by Delhi High Court – No Service tax on reimbursement of expenses

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Dec 07

2019

Posted by: CS Shilpi Thapar

On 30th November 2012, the Hon’ble Delhi High Court has delivered a land marking judgment and struck down the provisions related to service tax on reimbursement of expenses.  The Division Bench of Delhi High Court by Judgment dated 30.11.2012 has struck down the Rule 5(1)of Service Tax (Determination of Value) Rules, 2006 as bad in law & ultra vires to section 66 & 67 of the Finance Act, 1994 and allowed writ petition (C) No. 6370/2008 & also quashed show case notice demanding service tax of RS. 3.5 crores on reimbursement of expenses. The Copy of judgment can be downloaded from Delhi High Court website.

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