2014 (11) TMI 673

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....ailed by the appellant and also imposed equal penalty. The Commissioner (Appeals) in the impugned order has upheld the Order-in-Original. 2. Ld. Advocate submits that they are availing broadcasting service and advertisement services and their final products are being advertised in TV channel. They have engaged two Advertising Agencies viz. M/s. Lintas India (P) Ltd. and M/s. Carat Media Services India (P) Ltd. He submits that the Advertisement Agencies are registered with service tax department for rendering advertisement services for the development of content, design. The advertising agency is discharging service tax and the same is claimed in their bill. In addition, for broadcasting their Advertisement through media, the advertising ag....

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.... ELT 918 (Tri.-Mumbai) 4. Heard both sides. I find that the appellant has availed input service credit on broadcasting services for advertising their products in the media through their advertising agencies. The advertising agency raised two sets of invoices, one for the services rendered by the agency for development of design and content and another is billed for the reimbursements of the broadcasting charges. I find that the copy of the invoice dt. 15.10.2009 raised by Zee News Ltd. is in the name of Jyothy Laboratories Ltd. and the agency name is mentioned as Lintas Media Group, Mumbai. The Tribunal in the case of IOCL (supra) has discussed the identical issue and allowed the appeal. The relevant portion of the above decision is reprod....

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...., periodicals etc.) or the electronic media (Doordarshan, private TV Channels, AIR etc.) will not be includible in the value of taxable service for the purpose of levy of serviced tax. The commission received by the advertising agency would, however, be includible in the value of taxable service. 7. We observe that there is no dispute in the present case that the broadcasting of advertisement has been done on behalf of the appellant and the bills have also been raised on the appellant and the appellant has borne the incidence of Service Tax on the broadcasting service. Further, while passing the order dated 30.9.2013, the adjudicating authority has caused verification of the transactions undertaken by the appellant in respect of broadcasti....