Case Law Analysis
|Custom, Excise & Service Tax Tribunal
Service Tax Liability | Conversion from Proprietorship to Partnership Requires Fresh Show Cause Notice: CESTAT Quashes ₹69.7 Lakh Demand
CESTAT rules that a partnership firm cannot be held liable for service tax demands arising from its predecessor proprietorship without a fresh show cause notice. The decision underscores the legal distinction between entities, protecting businesses from retrospective tax liabilities post-conversion.