CESTAT sets aside Rs 7.87 crore service tax demand in company favour

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Price reactionminutes from the announcement price · days from the prior close

-1.1%Reaction day

₹130.00

prior close

₹130.10

announcement price

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Nifty Microcap 250market · in no size index; the smallest one is used-1.1%-0.0% vs market

Restaurants peers, median of 11sector-1.1%+0.0% vs sector

On the reaction day the stock moved in line with Nifty Microcap 250 and in line with its Restaurants peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

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Sessions after the filingfrom the prior close

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Reaction day

-1.1-1.1-0.0-1.1+0.0

Next day

+4.2-0.5+4.7+0.0+4.2

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+2.5-1.3+3.8-1.4+3.9

+5.4-2.0+7.4-2.3+7.7

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15d

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+7.7+2.5+5.2+16.9-9.2

+8.3-0.1+8.4-2.3+10.6

UpDownMarket · Nifty Microcap 250Sector · Restaurants peers, median of 11Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

CESTAT Mumbai has ruled in favour of Speciality Restaurants, setting aside an October 2018 order that had upheld a Rs 7.87 crore service tax demand. The demand related to alleged non-reversal of CENVAT credit for the period August 2012 to March 2015. The tribunal allowed the company appeal, finding no merit in the impugned order against the company.

Likely market impact

Positive outcome. The Rs 7.87 crore service tax demand on the company is set aside, removing this potential liability.