𝗖𝗘𝗦𝗧𝗔𝗧 𝗔𝗵𝗺𝗲𝗱𝗮𝗯𝗮𝗱 𝗥𝘂𝗹𝗶𝗻𝗴 𝗼𝗻 𝗡𝗦𝗗𝗟/𝗖𝗗𝗦𝗟 𝗖𝗵𝗮𝗿𝗴𝗲𝘀 𝗮𝗻𝗱 𝗦𝗲𝗿𝘃𝗶𝗰𝗲 𝗧𝗮𝘅 📢 𝗧𝗵𝗲 𝗧𝗿𝗶𝗯𝘂𝗻𝗮𝗹 𝗵𝗲𝗹𝗱: "NSDL/CSDL charges, being statutory charges as per SEBI Rules, should not be included in the assessable value for the purpose of service tax."

🔍 𝗙𝗮𝗰𝘁𝘀: 𝗖𝗼𝗺𝗽𝗮𝗻𝘆: Saurin Investments Pvt. Ltd. 𝗜𝘀𝘀𝘂𝗲: Whether NSDL & CSDL charges recovered from clients should be included in the assessable value for service tax purposes. 𝗔𝗰𝘁𝗶𝘃𝗶𝘁𝘆: The appellant recovered NSDL/CSDL charges from clients and excluded them from the assessable value of service tax.

⚖️ 𝗝𝘂𝗱𝗴𝗲𝗺𝗲𝗻𝘁: The Tribunal relied on precedents like M/s. Kunvarji Finstock Pvt. Ltd. and M/s. Innovative Securities Pvt. Ltd., which ruled that demat charges collected and paid to depositories like CDSL/NSDL are statutory in nature and cannot be taxed. It was held that such charges do not form part of the assessable value for service tax. Accordingly, the appeal was allowed, and the impugned orders were set aside.

📜 𝗖𝗮𝘀𝗲 𝗜𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻: 𝗧𝗶𝘁𝗹𝗲: Saurin Investments Pvt. Ltd. vs. C.S.T.-Service Tax, Ahmedabad 𝗢𝗿𝗱𝗲𝗿 𝗗𝗮𝘁𝗲: 10 January 2023 📜 This ruling reaffirms that statutory charges like NSDL/CSDL, governed by SEBI rules, are not taxable under service tax provisions.