2014 (12) TMI 456

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....blishing companies to USA & Europe. They have registered themselves under the "Information Technology Software Services" on 4.11.2008. The appellant has outsourced part of their work i.e. copy editing, indexing and project management to the overseas service provider. The appellant also made foreign remittance towards travelling and other expenses, selling and business promotion expenses in connection with rendering of the services. Show cause notice dt. 19.4.2012 was issued demanding service tax of Rs. 1,84,12,730/- along with interest and penalty under the category of "Business Support Services" under reverse charge mechanism. The adjudicating authority vide OIO dt. 31.5.2013 confirmed the service tax amount of Rs. 1,84,12,730/- and approp....

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.... (Tri.-Bang.) (iii) Cairn Energy India Pty. Ltd. Vs CCE Visakhapatnam 2010 (19) STR 110 (Tri.-Bang.) (iv) CCE Madurai Vs Chillies Export House Ltd. - 2011 (24) STR 40 (Tri.-Chennai) 4. The learned advocate also submits that the adjudicating authority has appropriated Rs. 53,03,967/- in the OIO whereas they have actually paid service tax amount of Rs. 66,24,540/- on various dates during the period from 29.11.2010 to 21.6.2011. In this context, he referred to the worksheet filed at page 13 of the appeal paper. He submits that they are entitled to avail full credit and also eligible to claim refund as their entire activity falls under "Export of Services" and it is a case of revenue-neutrality. 5. Ld. A.R submits that appellant had contest....

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....dexing, project management outsourced to the overseas customer which is squarely covered under "Import of Services". The remittance of foreign currency is not under dispute. The above activities particularly the project management outsourced relates to managing specified E-publishing project given by the customer efficiently. We find that appellant had initially contested before the adjudicating authority that their services were covered under IT services and the adjudicating authority held that their activity does not fall under "Information & Technology Services". However, the appellant in the present appeal advanced their contentions under "Business Auxiliary Service" under clause (vi) as provision of services on behalf of the client bef....