Service Tax not leviable on Compensation paid to Employer during Resignation without Notice: CESTAT [Read Order]

Service Tax - Compensation - Employer - Resignation without Notice - CESTAT - Taxscan

The Bangalore bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that the service tax cannot be leviable on the amount of compensation paid by the employee to the employer for resigning without notice. The appellants, XL Health Corporation India Pvt. Ltd. had collected certain amount as ‘Notice Period Pay’ or…

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M/s. XL Health Corporation India Pvt. Ltd vs Commissioner of Central Tax

Counsel for Appellant:   Mr. Ravi Banthia & Ms. Madhuri Rau

Counsel for Respondent:   Mr. P. Rama Holla, Superintendent


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