Applicability of service Tax on Electricity Meter Rent.

Sandip Kumar Sen (Sr.Manager(F&A)) (114 Points)

09 July 2010  

My company is in the business of distribution of Electricity to all category of consumers through Energy recording Meter. The consumers is billed by our company on energy charges so recorded in the energy meter so installed by the company, Meter Rent,other alied services like fuse call etc if any as per the prescribed rate of Regulatory commission.
Now Service Tax authority claimed to my company as service Tax on Meter rent collected from consumers,other alied services like fuse call etc so collected from consumers for the last five years.
 Please advice whether the claim of service tax authority is correct. If correct than at what section. If not correct than in what section & any case law in this context.
 This is very very very urgent,please advice for proper reply.