Notification No. 21/97-S.T., dated 26th June, 1997
1. In exercise of the powers conferred by section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts so much of the service tax leviable on a mandap keeper, as is in excess of the amount of service tax calculated on sixty per cent of the gross amount charged from the client by the mandap keeper, for the use of mandap including the facilities provided to the client in relation to such use and also for the catering charges:
Provided that the said exemption shall apply in such cases
where –
(a) such mandap keeper also provides catering services, that is, supply of food and the invoice, bill or challan issued for this purpose indicates that it is inclusive of charges for catering service; and
(b) no credit of duty paid on inputs or capital goods has been taken under the provisions of the Cenvat Credit Rules, 2004; and
(c) such mandap keeper has not availed the benefit under the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 12/2003-Service Tax, dated the 20th June, 2003 [G.S.R. 503 (E), dated the 20th June, 2003].".
Explanation.—For the purposes of this notification, the expression "food" means a substantial and satisfying meal.