2019 (11) TMI 1851 - HC - Central Excise

Appeal dismissed; appellate authority decision upheld on same precedent, finding no jurisdictional or factual error; no service tax on commission

The HC upheld the Appellate Authority's decision allowing the respondent's appeal on the same precedent, concluding there was no jurisdictional or factual ... Liability to pay service tax on the commission earned - HELD THAT:- A perusal of the order passed by the Appellate Authority reveals that the appeal filed by the respondent was allowed by the Appellate Authority in view of the decision given by this Court in [2017 (11) TMI 1112 - RAJASTHAN HIGH COURT]. Since, the appeal filed by the respondent was allowed in view of the decision given by this Court in [2017 (11) TMI 1112 - RAJASTHAN HIGH COURT], no ground for interference is made out. Appeal dismissed. Appellant challenged the Customs, Excise and Service Tax Appellate Tribunal order dated 30.11.2017 which had allowed respondent's appeal against the Commissioner, Central Excise, Jaipur-I's order upholding a 'demand of service tax' on commission earned by the respondent. Appellant contended the commission was taxable; respondent relied on precedent. The Court observed the issue is no longer res-integra: a Division Bench of this Court in D.B. Central Excise Appeal No. 12/2013 held the respondent was 'not liable to pay service tax on the commission earned by it,' and a Special Leave Petition against that decision was dismissed by the Apex Court. The Appellate Authority allowed the respondent's appeal pursuant to that Division Bench decision. Given the binding precedent and the Appellate Authority's reliance thereon, the present appeal disclosed no ground for interference and was dismissed.