2018 (8) TMI 1692 - HC - Service Tax

High Court dismisses Revenue's appeal against Tribunal order under Finance Act & Central Excise Act

The Bombay High Court dismissed the Revenue's appeal challenging the Tribunal's order under the Finance Act and Central Excise Act. The Tribunal's ... Export of services - Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in holding that the Respondent-Assessee had exported services in respect of activities carried out in India? - Held that:- It is an agreed position that this case stands concluded by the decision of this Court in SGS India Pvt. Ltd.,[2014 (5) TMI 105 - BOMBAY HIGH COURT] which has been followed by the Tribunal, no substantial question of law would arise for our consideration in this appeal - appeal dismissed. Issues:1. Challenge to the common order passed by the Tribunal dated 7th April, 2016 under Section 83 of the Finance Act, 1972 read with Section 35G of the Central Excise Act, 1944.2. Dismissal of Revenue's appeal by the Tribunal based on the decision in CST v/s. SGS India Pvt. Ltd.3. Reframing the question of law regarding the justification of the Tribunal in holding that the Respondent-Assessee exported services in respect of activities carried out in India.4. Submission of appeal by Revenue to the Supreme Court based on the decision in SGS India Pvt. Ltd.5. Reference to previous decisions of the Court in similar cases where the Revenue's appeal was dismissed following the decision in SGS India Pvt. Ltd.6. Conclusion that no substantial question of law arises for consideration in the appeal due to the precedent set by the decision in SGS India Pvt. Ltd.Analysis:The judgment of the Bombay High Court pertains to an appeal challenging the common order dated 7th April, 2016 passed by the Customs, Excise and Service Tax Appellate Tribunal (the Tribunal) under Section 83 of the Finance Act, 1972 read with Section 35G of the Central Excise Act, 1944. The Revenue was aggrieved by the Tribunal's order, specifically concerning Service Tax Appeal Nos. 90148 and 90149 of 2014. The Tribunal had dismissed the Revenue's appeal by relying on the decision in CST v/s. SGS India Pvt. Ltd., 2014 (34) STR 554. The question of law was reframed to determine whether the Respondent-Assessee had exported services in relation to activities conducted in India. The Revenue, dissatisfied with the court's decision in SGS India Pvt. Ltd., filed an appeal to the Supreme Court, awaiting a decision. The Court referenced previous cases where similar appeals by the Revenue were dismissed following the precedent set by the decision in SGS India Pvt. Ltd. Ultimately, the Court concluded that no substantial question of law arose for consideration in the appeal due to the binding nature of the decision in SGS India Pvt. Ltd., leading to the dismissal of the appeal with no order as to costs.