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Gujarat High Court

Federation Of Surat Textile Traders ... vs Union Of India Through Secretary & 2 on 15 September, 2011

Author: Akil Kureshi

Bench: Akil Kureshi

SCA/4171/2011                            1/2                          ORDER


                IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

            SPECIAL CIVIL APPLICATION No. 4171 of 2011

=========================================================
FEDERATION OF SURAT TEXTILE TRADERS ASSOCIATION THROUGH & 1
                      - Petitioner(s)
                           Versus
    UNION OF INDIA THROUGH SECRETARY & 2 - Respondent(s)
=========================================================
Appearance :
MR PARESH M DAVE for Petitioner(s) : 1 - 2.
MR PS CHAMPANERI for Respondent(s) : 1 - 3.
=========================================================
                CORAM : HONOURABLE MR.JUSTICE AKIL KURESHI

                          and

                          HONOURABLE MS JUSTICE SONIA GOKANI



                                Date : 15/09/2011

ORAL ORDER

(Per : HONOURABLE MR.JUSTICE AKIL KURESHI) Rule returnable on 14th November 2011. Learned counsel Shri Champeneri waives service of rule on behalf of the respondents.

Counsel for the petitioners submitted that the petitioners are not providing any service and cannot be subjected to service tax. He submitted that the petitioners are associations of owners or occupiers of shops and offices in different buildings. They are only maintaining and cleaning such premises and cannot be categorized as providing service within the meaning of club or association's service. Counsel submitted that nowhere else except in Surat, the SCA/4171/2011 2/2 ORDER Department is insisting on collecting service tax from the petitioners.

By way of interim relief, it is therefore, provided that the respondents shall not proceed further with the show cause notice. It is, however, clarified that the petitioners shall reply to the show cause notice issued and thereafter it would be open for the adjudicating authority to call for any documents from the petitioners. The petitioners shall supply such documents if they are in their possession. Beyond this, no further steps will be taken in connection with the impugned show cause notice.

(Akil Kureshi J.) (Ms.Sonia Gokani, J.) (vjn)