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NOTE:
On the issue of applicability of Service Tax on sale of Post Paid / Prepaid cellular sim cards Honorable Tribunal has held that:
- The sale of Sim Cards is within the purview of Sales Tax.
- Cellular Company has paid full service tax on sale of sim cards.
- Distributor is engaged in selling and purchasing of sim cards independently on his own account.
- There can not be any service tax on profit earned by the distributor.
(For full text of judgment - visit 2007 -TMI - 2118 - CESTAT, BANGALORE)