NEW DELHI: In a setback to the Patanjali Yogpeeth Belief, the Supreme Courtroom on Friday upheld an appellate tribunal’s ruling that the organisation is liable to pay service tax for charging an entry price for organising Yoga camps, each residential and non-residential. A bench of Justices Abhay S Oka and Ujjal Bhuyan refused to intrude with the October 5, 2023 determination of the Allahabad bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT).
The bench, whereas dismissing the Belief’s attraction stated, “The tribunal has rightly held that Yoga in camps for a price is a service. We don’t discover any cause to intrude with the impugned order. The attraction is dismissed.”
In its order, the CESTAT had held that Yoga camps organised by Patanjali Yogpeeth Belief, which prices charges for participation, come beneath the class of “well being and health service” and appeal to service tax.
It had famous that the Belief, working beneath Yoga guru Ramdev and his aide Acharya Balkrishna, was engaged in offering Yoga coaching at varied residential and non-residential camps.
The tribunal had stated a price was collected from the contributors by means of donation.
“Although this quantity was collected as a donation, it was charges for offering the stated providers and therefore lined beneath the definition of consideration,” it had famous, including that the Commissioner of Customs and Central Excise, Meerut vary has raised the service tax demand of roughly Rs 4.5 crore for October, 2006 to March, 2011, with penalty and curiosity.
In its reply, the Belief had contended it was offering providers that are for curing illnesses. They aren’t taxable beneath “well being and health service”, it had stated.
The appellate tribunal in its order stated, “In our view the appellant (Patanjali Belief) was engaged in offering the providers that have been classifiable beneath the taxable class of providers supplied by well being membership and health centre, as outlined beneath Part 65 (52) of the Finance Act, to any individual.
“The declare of the appellant that they’re offering remedy for particular illnesses being suffered by the individual will not be supported by any constructive proof. Directions on ‘Yoga’ and ‘Meditation’ in these camps aren’t imparted to a person however to the whole gathering collectively. No prescriptions are made for any particular person in writing, diagnosing and treating the precise ailment/criticism of any particular person,” it had stated.
The appellate tribunal stated the Belief collected the entry price disguising it as donation.
“They issued entry tickets of assorted denominations. The holder of the ticket was granted totally different privileges relying on the denomination of the ticket. In return the appellant supplied the individual entry to the camp the place Swami Baba Ramdev would give directions in respect of Yoga and Meditation,” it had stated.
The bench, whereas dismissing the Belief’s attraction stated, “The tribunal has rightly held that Yoga in camps for a price is a service. We don’t discover any cause to intrude with the impugned order. The attraction is dismissed.”
In its order, the CESTAT had held that Yoga camps organised by Patanjali Yogpeeth Belief, which prices charges for participation, come beneath the class of “well being and health service” and appeal to service tax.
It had famous that the Belief, working beneath Yoga guru Ramdev and his aide Acharya Balkrishna, was engaged in offering Yoga coaching at varied residential and non-residential camps.
The tribunal had stated a price was collected from the contributors by means of donation.
“Although this quantity was collected as a donation, it was charges for offering the stated providers and therefore lined beneath the definition of consideration,” it had famous, including that the Commissioner of Customs and Central Excise, Meerut vary has raised the service tax demand of roughly Rs 4.5 crore for October, 2006 to March, 2011, with penalty and curiosity.
In its reply, the Belief had contended it was offering providers that are for curing illnesses. They aren’t taxable beneath “well being and health service”, it had stated.
The appellate tribunal in its order stated, “In our view the appellant (Patanjali Belief) was engaged in offering the providers that have been classifiable beneath the taxable class of providers supplied by well being membership and health centre, as outlined beneath Part 65 (52) of the Finance Act, to any individual.
“The declare of the appellant that they’re offering remedy for particular illnesses being suffered by the individual will not be supported by any constructive proof. Directions on ‘Yoga’ and ‘Meditation’ in these camps aren’t imparted to a person however to the whole gathering collectively. No prescriptions are made for any particular person in writing, diagnosing and treating the precise ailment/criticism of any particular person,” it had stated.
The appellate tribunal stated the Belief collected the entry price disguising it as donation.
“They issued entry tickets of assorted denominations. The holder of the ticket was granted totally different privileges relying on the denomination of the ticket. In return the appellant supplied the individual entry to the camp the place Swami Baba Ramdev would give directions in respect of Yoga and Meditation,” it had stated.
