TaxTMI 
TaxTMI 
2014 (3) TMI 697
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....various training programmes under the welfare scheme of the Central Government and State Government like Prime Minister Rozgar Youjana (PMRY), Prime Minister Employment Generation Programme (PMEGP), Mass Employment Generation through Science & Technology (MEGSET), Entrepreneurship Awareness Camps (EACs), Entrepreneurship Development Orientation Programmes (EDOPs), Swayam Siddha project for upliftment and development of women in the rural areas, Rani Durgawati Swarozgar Yojana (RDSY), Management Development Programmes/ Development Orientation Programmes (MDPs/DOPs), CM Gharelu Kamkaji Mahila Yojana (CMGKMY), National Health Rural Mission (NRHM) etc. According to the appellant in addition to the above activities, they are also associated with (a) Computer training through franchisee network , (b) Employment generation through manpower supply to various organizations, (c) Data digitization for various Government Departments, (d) Providing education in collaboration with a University ; and &nb....
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....0/- per day or 2% of such tax, whichever is higher, from 18/4/06 under Section 76 of the Finance Act, 1994. The service tax demand was confirmed by invoking proviso to Section 78 of the Finance Act, 1994 by holding that the appellant have evaded the service tax by resorting to fraud, wilful misstatement and suppression of fact and on the same ground, penalty under Section 78 of the Finance Act, 1994 equal to the service tax demand confirmed has been imposed. Against this order of the Commissioner, this appeal has been filed alongwith stay application. 2. Heard both the sides in respect of stay application. 3. Shri Sandeep Mukherjee, Chartered Accountant, the learned Counsel for the appellant, pleaded that bulk of the service tax demand is in respect of commercial coaching and training service, that during the period of dispute under Section 65 (105) (zzc) of the Finance Act, 1994, 'commercial coaching and training' service was defined as service provided to any person by a 'commercial training or coaching centre' in relation to commercial training or coaching and under Section 65 (27) of the Finance Act, 1994, 'commercial coaching or training centre' was defined as any institute ....
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.... the Government, that ratio of this judgment of the Tribunal is also squarely applicable to the facts of this case, that no business support service has been provided by the appellant as all the activities of the appellant institution are in respect of Government and implementing various Government projects, that in any case the training provided to employees of the Government department is in the nature of skill development of the employees of the Government and is not the service in relation to support of business or commerce, that the appellant has paid the service tax in respect of the franchisee service as well as on renting of immovable property, that in any case, the appellant being an institution run by the State Government/financial institutions and lead bank of the States, there is no question evasion of service tax by resorting to fraud, wilful misstatement, suppression of facts, etc. and, hence, bulk of the duty demand is time barred and penalty under Section 78 would not be imposable and that in view of the above, the amount of Rs. 34,05,492/- already paid by the appellant is sufficient for hearing of the matter and the requirement of pre-deposit of balance amount of s....
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.... which are recognized under the law, the appellant institute would not be covered by the definition of 'commercial training or coaching centre' and, therefore, we are of the prima facie view that any training programmes conducted or organized by the appellant would not attract service tax under Section 65 (105) (zzc) readwith Section 65 (27) ibid. Therefore, the service tax demand in respect of the appellant's alleged activities as commercial coaching or training centres is not sustainable. The bulk of this service tax demand is in respect of this activity. As regards the business support service, this is alleged to have been provided by the appellant to various Government Departments by data digitization. In terms of Section 65 (104C), the expression 'support service to business or commerce' means, services provided in relation to business or commerce and includes evaluation of prospective customers, tele-marketing, processing of purchase orders and fulfillment services, information and tracking of delivery schedules, managing distribution and logistics, customer relationship management services, accounting and processing of transactions, operational assistance for marketing, form....