Order Date – 03 April 2023

Parties: Mpc Gymkhana Vs C.C.E. & S.T.-Vadodara-ii

Facts – 

• The Appellant, Mpc Gymkhana, has recovered charges towards short term accommodation from its club members and affiliated club members.

Issue –

• Whether the appellant is liable to pay service tax on providing short term accommodation to its members and affiliated members of the club for the period 2006 to 2011?

Order –

• The Tribunal observed that this issue has been considered by the larger bench of the Hon’ble Supreme Court in the case of CALCUTTA CLUB LTD wherein, it was held that the club and club members are not different entity therefore, the service provided by the club to its members does not fall under the provision of service accordingly, it was held in the said judgment that the club are not required to pay the service tax on the charges collected from its members.
• Considering the judgment of the Hon’ble Supreme Court whereby, the issue in the present case does not remain res-integra, the impugned orders are not sustainable hence the same are set aside. Appeals are allowed.