TaxTMI 
TaxTMI 
2012 (7) TMI 630
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....ed in the activity of conducting horse race. During the horse race, licensed book makers (bookies in short) accept bets from public in the premises of Turf Club and these bookies have been provided stalls and other infrastructural facilities within the premises of the Turf Club. The Turf Club charges fees from the bookies in two components, one is fixed amount under the Head "Stall fees" and the other is variable amount under the Head "Commission" which is collected as a percentage of the betting amounts collected as a percentage of the betting amounts collected by such bookies. The Turf Club conducts live telecast of races which can be viewed from other racing clubs in India located in Bangalore, Kolkata, Hyderabad, Mysore, Delhi, Madras a....
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....t Services' under Section 73 of the Finance Act, 1994. The Commissioner also demanded interest under Section 75 of the Act ibid and imposed penalties on the Turf Club under Section 76, 77 and 78 of the said Finance Act. 2.2 Another show-cause notice dated 17.10.2007 was issued demanding service tax for the period from 01.07.2006 to 31.03.2007 amounting to Rs.1,08,66,910/- categorizing the income received from other race clubs under the head royalty/commission as 'Intellectual Property Rights Services' and categorizing the receipts from race clubs received as fixed amount for live telecast under the category of 'Broadcasting Services'. Similarly in respect of fixed amount paid by the bookies, the same was categorized as 'Business Support ....
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....ices', this Tribunal in Madras Race Club vs. CST-2009 (14) STR 646 (T) had prima facie held that the amounts received from the book makers by the Race Club does not come under the category of 'Business Support Services' and, accordingly, stayed the demand for recovery of service tax, interest and penalty. He also relied on the clarification issued by the CBEC vide a Circular No. 334/4/2006-TRU dated 28.02.2006 wherein it has been provided that these services provide outsource a number of services used in business and commerce such as transaction processing, routine administration or accountancy, customer relationship management and tele-marketing. In these cases, the business entities which provide infrastructural support such as providing ....
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....rvice tax to M/s. Essel Shyam Communications Ltd., for the services received, and, therefore, they cannot be treated as provider of services as well as recipient of the service at the same time, in respect of same services. Accordingly, he prayed for stay of the demand of service tax, interest thereon as also the penalties imposed on the appellant. 4. The learned Authorised Representative on the other hand reiterated the findings given in the orders of the adjudicating authority and prays for pre-deposit of the dues adjudged. 5. We have carefully considered the rival submissions. 6. As regards the demand for service tax under the category of 'Intellectual Property Right Services', neither the show-cause notice nor orders-in-origina....
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....under 'Broadcasting Services' we find that this Tribunal in the case of Board of Control for Cricket in India vs. CST - 2009(7) STR 384(T) while considering the service tax demand on sale of television rights, sponsorship money and logo money by the Board of Cricket Control in India held that sale of such rights will not come under the category of advertising agency or other services for the period prior to 2010 when a new service under the category of "services of permitting commercial uses or exploitation of any event organized by a person or a organization" was brought under the category of taxable services in the Budget 2010. Therefore, if the Royal Western India Turf Club Ltd. has permitted commercial use or exploitation of horse race ....