CESTAT Mumbai: Appeals Allowed on Service Tax Demand for Manpower Recruitment Services

The Appellate Tribunal CESTAT MUMBAI allowed the appeals challenging Orders-in-Original on Service Tax demand for Manpower Recruitment and Supply Agency Services. The Tribunal considered precedents from the High Court of Bombay and the withdrawal of appeals by the Revenue, leading to the conclusion that the issue was no longer open for consideration. As a result, the impugned orders were set aside, and the appeals were allowed with any necessary consequential relief.

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Issues:
- Appeal against Orders-in-Original regarding Service Tax demand for Manpower Recruitment and Supply Agency Services.

Analysis:
The judgment by the Appellate Tribunal CESTAT MUMBAI pertains to two appeals challenging Orders-in-Original issued by the Commissioner of Central Excise & Service Tax, Pune-III. The issue at hand revolves around the demand of Service Tax under the category of Manpower Recruitment and Supply Agency Services. The lower authorities had upheld the demands citing an agreement between the appellants and a Sugar factory for various services related to sugar cane harvesting, loading, unloading, and transportation to the factory.

Both parties acknowledged that the issue in question is akin to judgments delivered by the Hon'ble High Court of Bombay in specific cases, namely Commissioner of Central Excise Vs. Samarth Sevabhavi Trust & Ors. and Commissioner of Central Excise Vs. Godavari Khore Cane Transport Co. (P) Ltd. Furthermore, it was noted that the Revenue in Central Excise Appellate authority appeal had withdrawn appeals filed before the Hon'ble High Court of Bombay on the same issue. Consequently, the Tribunal concluded that the matter is no longer res integra, leading to the setting aside of the impugned orders and allowing the appeals with any consequential relief deemed appropriate. The operative portion of the order was pronounced in court, bringing a resolution to the appeals.

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