Held - It was found that Sr. No. 62 (heading 9991 or 9997) of Notification No. 12/2017- Central Tax (Rate) dated 28th June 2017 provides NIL rate of Tax in respect of services provided by the Central Government, State Government, etc. by way of tolerating non-performance of a contract for which consideration in the form of fines or liquidated damages is payable to the Central Government, State Government, Union Territory or local authorit.....

Held - We have already arrived at the conclusion that in section 3 of the contract the specific clause - 7 provides for the levy of liquidated damages if the project completion is delayed beyond the scheduled date. This clause leads us to the conclusion that the appellant is in a contractual agreement with the contractor to impose levy of liquidated damages and to accept the amount of liquidated damages in case of the completion of the project.....

Held - The EMI paid by the customers is a fixed amount payable at a specified date, which includes both interest and the principal amount. In cases of delay in repayment of such EMI by the customers, the Applicant collects penal/default interest (penal interest), in terms of the agreements executed by the customers. The same is calculated at a percentage not exceeding a fixed percentage, on the overdue loan amounts of the customer. The percent.....

Held - It was found that from the terms and conditions as referred above in respect of Article VI, Article VIII, and Article XII of the Association Agreement as refereed above that as per the terms and conditions of the agreement referred above there was clearly an agreement between the applicant and SPL to tolerate an act or situation in case such act was done by the other or such a situation arose because of default on part of one .....

Held - We find that this very Bench, in the case of M/s. Taanya Tours Travels & Freight Forwarders Pvt. Ltd. (Final Order No. 41515-41516/2018 dt. 18.05.2018), relied upon the decision of Punjab and Haryana High Court in the case of Janata Travels (P) Ltd. – 2009 (13) S.T.R. 488 (P&H) as well as C.C.E. Vs. Sharma Travels – 2009 (13) S.T.R. 150 (Tri. –Del.) set aside the demand in respect of charges received on cancell.....

Held - The next issue is with regard to income received from the airlines for cancellation of tickets. The issue stands covered by the decisions cited by the ld. counsel for the appellant in favour of the assessee. Following the same, we set aside the demand on this ground.

The demand in respect of tour operator service and cancellation charges is set aside.