No Service Tax on Issuance of Corporate Guarantee on behalf of Group Companies without Consideration: SC [Read Order]

Service - Tax - Issuance - Corporate - Guarantee - Group - Companies - Consideration - SC - TAXSCAN

In a significant case, the Supreme Court has held that the issuance of a corporate guarantee on behalf of group companies without consideration is not a taxable service and no need to levy service tax. The department has challenged the dropping of proceedings initiated against the assessee, M/s Edelweiss Financial Services Ltd., for having provided…

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