Service Tax Not Leviable on Legal Services Provided by Advocate to Partnership Firm of Advocates

Last updated: 03 April 2026
Quick Summary
The Bombay High Court has ruled that service tax is not applicable to legal services provided by an individual advocate to a partnership firm of advocates. This decision was based on specific exemptions under the Service Tax Notifications of 2012. Consequently, the court quashed an order that had confirmed a service tax liability of approximately Rs. 26.81 lakhs, along with interest and penalties, and also cancelled the recovery proceedings.

Court :
Bombay High Court

Brief :
The Hon'ble Bombay High Court in the case of Manisha Rajiv Shroff v. Union of India & Ors. [Writ Petition (L)No. 1684 of 2026, order dated February 05, 2026] held that service tax was not leviable on legal services rendered by an individual advocate to a partnership firm of advocates in view of Notification Nos. 25/2012-ST and 30/2012-ST dated June 20, 2012, and consequently quashed the order-in-original confirming service tax liability and the consequential recovery proceedings, holding that the designated officer had acted without jurisdiction.

Citation :
Writ Petition (L)No. 1684 of 2026, order dated February 05, 2026

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1 Year PLAN
1999
(Excl. of GST ₹359)

BEST VALUE
2 Years PLAN
3499
(Excl. of GST ₹629)

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