Export of service in money transfer commission disputes defeats service tax demand on Western Union sub-agent services.

Commission earned for money transfer services performed as a Western Union sub-agent was treated as export of service and not subject to service tax. The Larger Bench ruling had already settled that such services fall outside the service tax net, and the respondent accepted that the issue was no longer res integra. The demand was therefore not sustainable, and the appeal was allowed with waiver of pre-deposit.

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Issues: Whether the commission earned for providing money transfer services through Western Union amounted to export of service and was not liable to service tax.

Analysis: The demand related to commission received for money transfer services rendered as a sub-agent. The issue had already been decided by the Larger Bench in the assessee's favour, holding that such services constituted export of service and were not chargeable to service tax. The respondent accepted that the issue was no longer res integra in view of that ruling.

Conclusion: The service tax demand was not sustainable, and the appeal was allowed with waiver of pre-deposit.

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