1

Service Tax - 2008 - TMI - 4105 - CESTAT BANGALORE

Courier Agency Service provided partly outside India - revenue contended that assessee has not received payment for such services in convertible foreign exchange - as per Rule 3(2) of Export Services Rules amended w.e.f. 15.6.05 appellant would be liable to pay ST, as the service would be considered as export of service only if payment is received in convertible foreign exchange - Disputed period is prior to this amendment so impugned service will be held as export of services - appeal allowed

2

Service Tax - 2008 - TMI - 4104 - CESTAT, CHENNAI

OIO rejected refund claim & appropriated the tax paid by the party in the category of 'Man Power Recruiting Agency' towards the tax which ought to have been paid in the category of 'Security Agency' - impugned order sustainable as amount payable by assessee can be adjusted against amount refundable (collected wrongly) - Sec 67(v) didn't provide abatement of such expenses reimbursable or wages of employees - so Security Agency is required to pay ST on gross amount charged by it from its client

3

Service Tax - 2008 - TMI - 4103 - CESTAT, NEW DELHI

Appellants had agreement with Bank to promote their retail activities - there is no force in contention of appellants that they are not providing any business auxiliary service, and they are under the franchise agreement with Bank - conditions of the agreement shows that appellants has to promote retail finance of bank - appellants are not paying to bank any amount being their franchise - even, they are getting commission from bank - impugned services coverable under business auxiliary service

4

Service Tax - 2008 - TMI - 4102 - CESTAT, CHENNAI

Cellular phone service providers - imported SIM cards and sold the same to their customers on payment of sales tax - also activated SIM cards by giving connection - also paid service tax on the activation charges - Revenue's contention that value of SIM card should have been added to activation charge for the purpose of payment of ST, is not justified - held that there should be no levy of service tax on the value of the SIM cards, because service tax is leviable on services not on goods

5

Service Tax - 2008 - TMI - 4087 - CESTAT, NEW DELHI

As per Cir. 10/04, the transfer of Intellectual Property rights doesn't amount to rendering service - in this case, there is no evidence on record to show that assessee had paid for technical assistance, as per the agreement, the same is optional - In absence of such evidence, we find no merit in the contention of revenue - Order of comm.(A) that agreement