Consulting Engineer service tax does not apply to royalty for pre-16-12-2002 technology receipts.

Royalty remitted for technology received before 16-12-2002 was treated as outside the scope of service tax under Consulting Engineer service. The Tribunal followed earlier decisions, including a Larger Bench ruling, which had already held that such royalty payments were not chargeable on this basis. Reliance on an interim stay order did not displace the settled Tribunal position. The challenge was therefore rejected, and the lower appellate view was upheld.

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Issues: Whether royalty remitted for technology received prior to 16-12-2002 was leviable to service tax under the category of Consulting Engineer service.

Analysis: The lower appellate authority had followed earlier Tribunal decisions holding that royalty paid for technology received before 16-12-2002 was not chargeable to service tax under Consulting Engineer service. The challenge based on reliance upon an interim stay order was not accepted, as the issue was already directly covered by earlier Tribunal decisions and a Larger Bench decision.

Conclusion: Royalty remitted for technology received prior to 16-12-2002 was not liable to service tax under Consulting Engineer service, and the appeal was rejected.

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