TaxTMI 
TaxTMI 
2014 (3) TMI 335
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....o Tata Motors for having received cars/vehicles under bailment for the said cars and vehicles given for transportation. (b) To load vehicles on to railway rakes (c) To pay of freight to railways (d) To unload the vehicles from the railway rakes at the destination stations and to transport the same to the dealers premises. (e) To ensure that no damage is caused to the vehicles during transportation (f) To establish and maintain the stockyards at various places to stock the vehicles pending availability of rakes at Pune and pending transfer of cars/vehicles to the dealers yard at the destination. (g) To obtain a receipt from the concerned dealer for delivery of vehicles and submit the same to Tata Motors. 2.1 The show-cause notices propose to impose Service Tax under the 'Clearing and Forwarding Agent Service' for the period April, 2001 to 30th March, 2004 and 31st March, 2004 to March, 2005 demanding Service Tax of Rs. 8,69,885/- along with penalty under Section 75A, 76, 77 & 78 of the Finance Act, 1994. The appellant filed detailed reply and contested both the show-cause notices and a....
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....&C vide Circular No. B.43/7/97-TRU dated 11.7.1997 has clarified the scope of the taxable service of Clearing & Forwarding Agent as under:- "Normally, there is a contract between the principal and the clearing and forwarding agent detailing the terms and conditions and also indicating the commission or remuneration to which the C&F agent is entitled. A clearing and Forwarding agent normally undertakes the following activities- (a) Receiving the goods from the factories or premises of the principal or his agents; (b) Warehousing these goods; (c) Receiving despatch orders from the principal; (d) Arranging despatch of goods as per the directions of the principal by engaging transport on his own or through the authorised transporters of the principal; (e) Maintaining records of the receipt and despatch of goods and the stock available at the warehouse; (f) Preparing invoices on behalf of the principal." 3.1 The appellant neither in....
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.... Del Credre Agency. Moreover, the said conclusion/ observation stands settled by a Larger Bench of the Tribunal in the case of Larsen & Tourbo Ltd. (supra) wherein it has been held that services of commission agent are included in the definition of 'business auxiliary service' from 1-7-2003 and mere procuring or having orders for the principal by an agent on payment of commission basis would net amount to providing services as " clearing and forwarding agent", within the meaning of the definition of that expression under Section 65(25) of the Finance Act, 1994. While reaching to this conclusion the Tribunal has observed that the expression "directly or indirectly" "and in any manner" occurring in the definition of 'clearing and forwarding agent' cannot be isolated or the activity of clearing and forwarding operations and an agent it engaged only for procuring purchase orders for the vendor on commission basis does not engage in any of the activities connected with clearing and forwarding operation directly or indirectly. 14 . We have also been informed by Sh. Sanjiv Kaushik, Advocate counsel for the appellant that in view of Board's clarification and the various jud....
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.... registration certificate on the premise that their activities did not fall within the category of 'Clearing & Forwarding Agent' and for issuance of fresh registration, but the Revenue was of the view that the assessee is Clearing & Forwarding Agent. The question framed by the High Court was - "when M/s. Mahaveer Generics are rendering the service of receiving, storing and distributing the goods manufactured by M/s. Cipla Ltd., whether the Hon'ble CESTAT, Bangalore is right in holding that the party was not acting as clearing and forwarding agents and was not providing taxable service". After taking note of the agreement wherein it was mentioned that M/s Cipla appoints M/s Mahaveer Generics as its consignment agent and will supply its product from any of its depot in loan licence to the agent on a consignment basis through a stock transfer note, for sale by him, as the agent of the principal. The principal undertakes to deliver the products to the agent's godown at Bangalore at his cost. The agent will take charge of the product and store them in his godowns and such product will remain the property of the principal at all times. The agent will sell the products as consignment agen....
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.... appeal & it was pending as on the date of disposal in KULCIP's Case by Punjab & Haryana high Court and hence, the view taken in Kulcip Medicine case is inapplicable to the facts & circumstances of the case and also in the background of our examination, scrutiny and interpretation with regard to the agreement in question." Finally the Hon'ble High Court answered the question of law so framed in favour of the appellant Revenue and against the assessee. 4.1 The Revenue, further relied upon ruling in the case of Medpro Pharma Pvt. Ltd. Vs. Commissioner of Central Excise, Chennai - 2006 (3) STR 355 (Tri-LB), wherein the Larger Bench of the Tribunal considered the question referred to its being:- "1. Whether services provided by a person engaged in either clearing, or forwarding operations, or both, will fall fall within the ambit of the definition of "clearing and forwarding agent" under Section 65(23) of the Finance Act, 1994, so as to attract the levy of service tax? 2, Whether only when the clearing and forwarding agent carries out both clearing and forwarding operations, the levy of service tax will be attracted and not otherwise, as held by th....