https://www.taxtmi.com/caselaws?id=335749 Hiring of earthmoving equipment was treated as a transfer of right to use goods, because the agreement gave the hirer custody, responsibility for safe use, liability for misuse and damage, and VAT was paid on the transaction. On those features, possession and effective control were found to have passed to the hirer, so the activity fell within deemed sale principles and not the taxable service of supply of tangible goods for use. The pre-16.05.2008 demand was not finally sustained on the existing record, and the matter required fresh consideration only for that period on the alternative contention that the activity was not business auxiliary service. en-us Mon, 31 Oct 2016 00:00:00 +0530 Wed, 12 Apr 2017 11:01:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=335749 Hiring of earthmoving equipment was treated as a transfer of right to use goods, because the agreement gave the hirer custody, responsibility for safe use, liability for misuse and damage, and VAT was paid on the transaction. On those features, possession and effective control were found to have passed to the hirer, so the activity fell within deemed sale principles and not the taxable service of supply of tangible goods for use. The pre-16.05.2008 demand was not finally sustained on the existing record, and the matter required fresh consideration only for that period on the alternative contention that the activity was not business auxiliary service. Case-Laws Service Tax Mon, 31 Oct 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=335749