CESTAT upholds ₹1.12 Crores Service Tax Demand for Manpower Recruitment and Supply Agency Service

The Customs, Excise and Service Tax Appellate Tribunal (CESTAT) upheld a service tax demand of Rs. 1.12 crore on a company providing manpower recruitment and supply agency services. The company had challenged the tax demand, arguing that its services did not fall under the taxable category. However, CESTAT ruled that the services provided were indeed taxable under the relevant provisions of the service tax law. This decision reaffirms the taxability of manpower recruitment and supply services, emphasizing the government's stance on enforcing service tax compliance in this sector.